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Scary Bonds From Last Crisis Were the Best Place to Hide in 2018
The securities that triggered the last financial meltdown are proving to be one of the best places to hide in this downturn. Bonds backed by loans like auto and credit-card debt have gained 1.6 percent this year through Monday, according to Bloomberg Barclays indexes.
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Legacy Subprime Mortgages Seen as Gift That Keeps Giving
In the aftermath of the financial crisis, a $60 million slice of subprime mortgage bonds from 2007 traded hands for as little as two cents on the dollar. Now, they’re higher than 90 cents.
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Hedge fund assets increase 18.4% to $1.338 trillion
Hedge funds with an institutional orientation produced exceptionally strong net asset growth of 18.3% in the year ended June 30. Aggregate assets managed worldwide in single and multistrategy hedge funds by the 113 firms in Pensions & Investments’ universe totaled $1.336 trillion as of June 30.
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Distressed-Debt Investors See Meager Returns in 2017 Amid Scarcity of Opportunities
Distressed-debt funds are about to close out the year with meager returns as junk bond and leveraged-loan investors continued to bail out many troubled companies. Average returns for hedge funds focusing on distressed debt fell to 4.7% year-to-date, from 15.15% during the same period of 2016, according to Hedge Fund Research.
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The Hedge Fund Marketing Power Index
Now more than ever, good marketing is key to a hedge fund’s survival. With investor allocations stagnant, only the best can keep their funds from failing. For the first time, Alpha is laying a framework to mathematically rank the hedge funds with the best fundraising teams — the marketing professionals able…