The first step is knowing that independent resources are out there
For many institutional investors, hedge funds are a relatively new investment vehicle, so relevant guidance on how to navigate this rapidly-changing market is at a premium, says Niki Natarajan, editor of InvestHedge
What used to be a simple decision about investing directly or via funds of funds is clearly a much more complex exercise these days. Like everything in life, the consumers are bombarded with a lot of choice and often little in terms of support.
Today, the world’s 300-largest pension funds now run some $10 trillion, according to Watson Wyatt. In reality this is only the tip of the institutional asset iceberg, which includes endowments, public funds globally, insurance assets, charity funds, as well as pools of managed corporate and government funds, including central bank reserves.
If each pension fund were to allocate an average of...