The opening of Art Basel Miami Beach, under way here this week, looked like the start of the most glamorous doorbuster sale in history, with hundreds of V.I.P.’s streaming into the convention center wearing high-end resort casual, ready to rummage through more than 200 of the world’s most prestigious galleries. …But one notable titan of this realm was missing: Steven A. Cohen, the hedge fund billionaire, who in less than six years has acquired one of the market’s richest troves, with works by Manet, Monet, Jackson Pollock, Andy Warhol and Damien Hirst, to cite just a few.
Lyxor Hedge Fund Index up 0.41% (1.98% YTD) as alternative strategies generate alpha in volatile November (Opalesque)
Thirteen Lyxor Strategy Indices out of 14 ended the month in positive territory, led by the Fixed Income Arbitrage (+1.2%), the Lyxor Long/Short Credit Arbitrage Index (+1%) and the L/S Equity – Market Neutral Index (+0.9%). The Lyxor Hedge Fund Index posted a positive performance at 0.4% in November 2012 (+2% in 2012 to date). The rising uncertainty related to the U.S. fiscal cliff issue focused investors’ attention in November. Risky assets started the month on the wrong foot amid mounting fears over policy issues but rumors of progress on the fiscal cliff negotiations, rising expectations of a solution for Greece (that materialized on 27 November) and to a lesser extent the smooth leadership transition in China helped equity markets recover the lost ground. Hedge fund managers navigated well in this context.
HC gives UK hedge fund TCI time to respond to govt’s reply (Livemint)
The Delhi high court on Friday granted four weeks’ time to UK-based The Children’s Investment (TCI) Fund, a shareholder in Coal India Ltd (CIL), to respond to the reply of the Union government opposing the hedge-fund management’s allegation that the Centre was interfering with the pricing of coal. “The petitioner (TCI) is allowed to file the rejoinder (to the reply of ministry of coal) within four weeks. List the matter for hearing on 9 May,” justice Rajiv Shakdher said. Earlier, TCI had moved the high court alleging that the ministry of coal has not been allowing state-run CIL to function independently as a company and the interference on coal pricing has been detrimental to the commercial interests of the hedge-fund management.
Fidelity Offers Hedge-Fund Access Via Arden Tie (WSJ)
Fidelity Investments is offering its retail clients access to hedge-fund firms through a mutual fund launched in partnership with Arden Asset Management. The mutual fund opened for business last week with more than $700 million from Fidelity, according to people familiar with the fund. It has made investments with nine managers, including Chilton Investment Co., Jana Partners and York Capital Management, according to a securities filing.
Hard times see Chris Hohn’s hedge fund profits slide (Telegraph)
Tough trading conditions have dented profits at TCI Fund Holdings, the hedge fund group run by Chris Hohn that ultimately supports the Children’s Investment Fund Foundation. TCI Fund Holdings saw its net profits fall by 60pc over the year to the end of February to £17.6m, according to its latest accounts, while revenue, derived primarily from management and performance fees based on the assets managed, fell from £110m to £65m.
Transport for London tunnels cash into hedge funds (Reuters)
The pension fund for Transport for London, the government body in charge of the capital’s giant transport network, is putting more of its money into hedge funds. TfL’s fund is in the final stages of investing with hedge funds Och-Ziff Capital Management Group LLC (NYSE:OZM) and Arrowgrass Capital Partners, and is set to boost its holding with Bridgewater Associates, the world’s largest hedge fund, TfL’s investment officer Padmesh Shukla told Reuters.
