Guest article written for AllAboutAlpha.com – the official publication of the Chartered Alternative Investment Analyst (CAIA) Association
Originally posted at: http://allaboutalpha.com/blog/2012/04/26/the-brand-of-hedge-funds/
With almost US$2 Trillion under management, the hedge fund industry is a significant component of the global financial market. To put their size in context however, it is important to realise that the size of the world equity markets are around US$30 trillion, a factor of more than 10 times larger.
During and immediately after the 2008 financial crisis, hedge funds became a convenient media and political scapegoat- not just the crisis itself, but for any volatility in practically any market- blamed for spikes in food prices, oil prices and more. From being the darlings of the financial world, the brand of the hedge fund market faced a significant (and largely unjustified) threat.
To learn more about the realities facing hedge fund brands, we spoke to Ron Resnick, Co-Founder and Partner of CounselWorks, a business strategy and regulatory consulting firm which provides project based consulting and manages compliance and regulatory programs for hedge funds, private equity firms, investment advisers and broker-dealers. Continue reading