2013-11-04 18:20:17 - British Virgin Islands Fund, Laureate BVI run by Peter Tasca, has generated 15 per cent return this year adding to the 18 per cent his fund generated last year. In May Mr. Tasca, issued a buy recommendation on Facebook (FB) which has returned a 79% year-to-date.
Hedge Fund Research reports that hedge fund assets have surged to an all-time record in the third quarter, at $2.51 trillion.
Hedge fund managers including Chris Hohn, Crispin Odey and Peter Tasca have each generated double-digit returns since the beginning of 2013.
Peter Tasca of Laureate BVI states, “The markets are performing well because the action of the central banks have fueled the stock markets, despite the underlying economic problems.”
Stock markets around the world have been acting well to the central banks stimulus. The FTSE 100 hit its highest level in 13 years, Japan’s Nikkei has risen nearly 70%, and the S&P 500 has rocketed to a record high.
London based Mr. Hohn, who runs The Children’s Investment fund, generated a 8.5
per cent return in April alone. While Mr. Odey’s Flagship fund European Fund is up 17 per cent year-to-date.
Wall Street was bearish but according to Tasca, “The company had some initial selling pressure but our research showed this company had solid revenue that was not being reflected in the stock price, so we issued a buy” In a recent research note, Tasca stated that Facebook (FB) could easily be trading 50% higher this time next year.
Hugh Sloane of Sloane Robinson, has returned 23.51 per cent on his flagship fund according to data collected by HSBC.
At CQS, Michael Hintze’s Directional Fund predicted that quantitative easing would continue to fuel a rise in global markets.
Mr. Hintze stated, “We have witnessed massively accommodative monetary policies globally since the onset of the global financial crisis in 2008.”
The Bank of England has pumped £375bn of money into the economy since the start of its QE programme in 2009, while central banks in America and Japan have added hundreds of billions of dollars to the global economy.
Tasca states, “The effect has been a boost in prices across the board from homes to equities.” He adds, “I expect this trend to slow but not pull back, there is just too much money flowing at the moment.”
Government policies such as Help to Buy scheme has prompted many fund managers to purchase shares in UK housebuilders and construction companies.
Investors prefer hedge funds because they want independent returns. In 2008 the HFRI Fund Weighted Composite Index limited its loss to 19% while the S&P 500 recorded a 38% loss.
For investors looking to invest in a hedge fund with a low initial investment, Laureate BVI offers a non-institutional fund. The minimum investment is only €2,500.00 and it offers the same transparent, cost-efficient investment model as the institutional fund.
Tasca states, “We have had a lot of interest in our retail fund, investors want the opportunity to test the waters before they make a substantial commitment.” Laureate BVI’s retail fund has partnered with some very high profile clients such as HSBC, Citco Bank and Asholt Investments.
Overall, as the markets continue to stabilize and produce returns for investors, hedge fund assets will continue to grow.