Hedge Funds To Bifurcate Along Risk Lines

The hedge fund industry will likely bifurcate into those offering low risk, single digit returns and those integrating high risk, high return strategies.

  • 27 Jun 2004
Email a colleague
Request a PDF

The hedge fund industry will likely bifurcate into those offering low risk, single digit returns and those integrating high risk, high return strategies. Michael Roth, founding partner at hedge fund manager Stark Investments, said the days of generating returns in the teens with low volatility strategies are coming to an end. The transformation of hedge funds from cottage enterprises to fully fledged institutions has hastened the movement of capital leveled at many arbitrage plays and this is making it harder to find opportunities.

To boost returns, some arbitrage hedge fund managers are now looking to introduce risk. For example, taking directional views in a convertible bond arbitrage fund could generate greater returns, by increasing risk, he said.

  • 27 Jun 2004

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Citi 304,500.91 1183 8.05%
2 JPMorgan 297,722.75 1300 7.87%
3 Bank of America Merrill Lynch 278,326.06 937 7.35%
4 Barclays 230,541.51 857 6.09%
5 Goldman Sachs 206,469.72 679 5.46%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 BNP Paribas 43,227.81 174 7.06%
2 JPMorgan 38,825.76 78 6.34%
3 Credit Agricole CIB 33,071.14 158 5.40%
4 UniCredit 32,366.25 145 5.29%
5 SG Corporate & Investment Banking 31,330.98 120 5.12%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 JPMorgan 13,024.03 55 8.93%
2 Goldman Sachs 12,162.67 59 8.34%
3 Citi 9,451.48 53 6.48%
4 Morgan Stanley 8,054.41 48 5.52%
5 UBS 7,856.75 31 5.39%