The Canadian pension fund plans to increase its allocation to the region from 10% to 15% over the coming four years, even as its total assets under management rise.
He will be reporting to Richard Webb, executive director in Hong Kong, who has regional responsibility for prime brokerage sales.
"The Australian hedge fund business is evolving to incorporate strategies beyond traditional equity long/short, into more technical areas such as active-extension and credit-oriented strategies,ö says Kurt Baker, managing director and regional head of prime brokerage based in Hong Kong. ôFor a prime broker to service this space, attention to detail is critical. That's where Carl's technical background and knowledge of operational process will be very valuable."
Approximately 65% of hedge-fund investors in Australia are high-net-worth individuals. Only 20% are institutions and Morgan Stanley predicts that the latter will grow in proportion. Morgan Stanley is understood to have a market-leading 35% share of assets in the Australian hedge fund sector.
They have teamed up with each other and with overseas investors to boost investment capacity in real estate and infrastructure investments in Europe and North America.
Asset owners across Asia Pacific weathered some difficult market conditions in 2020. While most emerged from the year successfully, some notable exceptions suffered asset drops.
Thanks to the current rise in yields, the key return driver of the bond market is set to change but its bull run will very likely continue.
Asian institutional investors were generally more optimistic about post-pandemic economic recovery but only 33% were confident about achieving their short-term objectives.