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December 12, 2005
Funds of HFs growing hot on Japan
Japan is where the action is going to be in the first part of 2006, according to a Reuters survey of funds of hedge funds. The poll found that FoFs predict that with Japan’s economy booming, its stock will likely outperform their U.S. and European counterparts with above-average returns through the first two quarters of next year.
“Everyone is scrambling to get into that asset class (equities),” Tim Gascoigne of HSBC Republic Investments told Reuters, adding that the possibility of deflation ending next year in the Land of the Rising Sun should let asset prices shine.
The survey also found FoFs will allocate 38.5% of their assets in long/short equity strategies in the first quarter of 2006 and 13% in global macros.
-Institutional Investors-
Posted by su at December 12, 2005 11:17 AM