Franklin Templeton’s alternative arm, K2 Advisors, says funds of hedge funds (FoHFs) offer a complementary option alongside traditional fixed income holdings and can provide a liquid alternative exposure for institutional investors.
The second half of 2013 saw fund-of-hedge-fund assets grow 20% in Asia, while in Europe they suffered a 7% outflow, according to eVestment. Asia hedge fund AUM also grew faster than elsewhere.
The Public Officials Benefit Association is seeking a global fund-of-hedge-funds manager to run a customised portfolio.
Global macro strategies are still preferred to equity hedge, says fund house GAM, which is turning to newer launches for customised institutional portfolios.