Latest news with #hedgefund
Bloomberg
4 hours ago
- Business
- Bloomberg
Hedge Fund's Payments for Ideas Drew Tipsters From the Dark Side
Squarepoint Capital collects ideas for its quant hedge fund from all over the world, with gleaming offices in London, Singapore, Dubai, New York and one above a Paris art gallery near the Champs Elysees. It also paid for stock tips from an Albanian day trader working in a cramped flat on the other side of London that she shared with her brother. Oerta Korfuzi toiled there on a large curved screen in the corner of her living room, squeezed between an alcove and a grey L-shaped sofa.
Yahoo
a day ago
- Business
- Yahoo
Asia Hedge Fund New Silk Road Shuts After US Investor Pullback
(Bloomberg) -- One of Singapore's longest-running hedge funds, New Silk Road Investment Pte, is shutting down after weak returns and a pullback by US investors in Asia led to a sharp drop in assets. Why the Federal Reserve's Building Renovation Costs $2.5 Billion Milan Corruption Probe Casts Shadow Over Property Boom Salt Lake City Turns Winter Olympic Bid Into Statewide Bond Boom How San Jose's Mayor Is Working to Build an AI Capital The firm, started by two finance veterans about 16 years ago, saw assets under management plummet to $615 million as of December, from almost $2 billion as recently as 2021. The closing comes as smaller hedge funds face increasingly tough conditions, from turbulent markets and geopolitical strife to the popularity of giant rivals whose myriad investment pods have attracted much of the available money. 'Our traditional source of funding from the US institutions had over the last several years been less enthusiastic about liquid equity investments in Asia, in no small part due to geopolitical reasons,' said co-founder Yik Luen Hoong. All remaining capital will be returned to investors and the vehicles shuttered, he added in an email. New Silk Road was a relative pioneer in Singapore's finance scene when it was founded in 2009 by Hoong, former head of Hong Kong-China equity products at Deutsche Bank AG, according to his LinkedIn profile, and Raymond Goh, ex-head of Asian equities at GIC Pte. At the time, the entire hedge fund market in Singapore managed just S$59 billion ($46 billion), a far cry from S$327 billion as of December, according to the latest available data from the Monetary Authority of Singapore. The fund was among the early foreign investors in China, with a team on the ground in Shanghai. When it was approved for investing in yuan-denominated mainland Chinese stocks and bonds under the Qualified Foreign Institutional Investor program in 2012, fewer than 200 firms had received such licenses from the China Securities Regulatory Commission. But in recent years performance suffered. Three of the past five years saw negative returns for both the Asia Landmark Fund and the China Fund, with declines of 28% and 19% respectively in 2022, according to people familiar, who requested not to be named because the matter is private. That same year, China's benchmark CSI 300 Index plummeted by 22%. The slump stretched into 2023, hitting many veteran China investors and forcing some to close shop. The firm had been particularly popular with US institutional investors, many of whom became wary of investing in Asia and began redeeming their funds, according to people familiar. 'We are just one of many active value funds in Asia that have not been the favor of the time,' Hoong said. The market has changed in such a way that it 'disfavors longer-term fundamental investing approach with value bias.' New Silk Road attempted to scale back earlier this year, reducing staff in Shanghai and shuttering a South East Asia fund it had launched more recently, Hoong added. It's not clear how many staff will be affected. While acknowledging that 'active management in Asia has been tough,' Hoong said the firm wasn't forced to wind down due to deficits. He added that Singapore is still a successful hub for hedge funds. Instead, the two founders, both 'crossing 60' years old, opted for a slower pace, and their successors weren't ready to take the reins. 'We had just decided to hang up our boots to return the capital to our investors so that they can pursue a more appropriate strategy of the time,' he said. 'It's as simple as two veterans choosing a different path in life.' --With assistance from Bei Hu. Elon Musk's Empire Is Creaking Under the Strain of Elon Musk A Rebel Army Is Building a Rare-Earth Empire on China's Border Thailand's Changing Cannabis Rules Leave Farmers in a Tough Spot How Starbucks' CEO Plans to Tame the Rush-Hour Free-for-All What the Tough Job Market for New College Grads Says About the Economy ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
a day ago
- Business
- Bloomberg
Asia Hedge Fund New Silk Road Shuts After US Investor Pullback
One of Singapore's longest-running hedge funds, New Silk Road Investment Pte, is shutting down after weak returns and a pullback by US investors in Asia led to a sharp drop in assets. The firm, started by two finance veterans about 16 years ago, saw assets under management plummet to $615 million as of December, from almost $2 billion as recently as 2021.
Bloomberg
2 days ago
- Business
- Bloomberg
Hedge Fund Kodai Founder Shah Joins Millennium's Equities Brass
Neville Shah, who previously ran money for Millennium Management at his own hedge fund Kodai Capital Management, is coming in-house to join Izzy Englander's $77 billion investment firm. Shah is joining as a senior member of Millennium's equities management team, according to a person with knowledge of the matter. Several other members of his team will also join the multistrategy giant as part of the move, the person said, asking not to be identified because the details are private.
Forbes
3 days ago
- Business
- Forbes
Why Family Offices Are Going Beyond The Bonus And Rewriting Reward Rules
Big paydays could be on the horizon for family office professionals. There seems to be a quiet shift happening in how family offices think about people. Not just who they hire, but how they build relationships that last. Compensation has been a recurring question amongst family offices and Morgan Stanley's 2025 Single Family Office Compensation Report highlights a telling trend: long-term incentive plans (LTIPs) are on the rise. Among investment-led firms, 95 percent of executives are now eligible for some form of LTIP. These include deferred cash arrangements, phantom equity, co-investment opportunities, and in select cases, profit-sharing models that echo private equity carry structures. At first glance, it appears to be a tactical adjustment aimed at attracting and retaining top talent. But this shift runs deeper. It hints at a move away from informal, discretionary reward systems and toward something more structured and intentional. This type of structure could potentially help build trust, incentivise commitment, and work towards the long arc of value creation. From Discretionary to Deliberate Historically, family office compensation was straightforward. Modest base, generous bonus, a handshake understanding of loyalty. Many offices took pride in this simplicity. They saw it as part of their culture. But culture, like capital, evolves. Today, more family offices are hiring from institutional worlds. Their talent pool includes former private equity partners, hedge fund analysts, and tech entrepreneurs. These professionals arrive with new expectations, not just around pay, but around clarity, fairness, and long-term upside. In response, family offices are redesigning reward architecture. Deferred compensation over three to five years is now common. Phantom equity and synthetic carry plans are emerging as ways to link professionals to the performance of investment portfolios or operating businesses. Co-investment, once informal, is increasingly structured, with defined timelines, risk-sharing, and clawback provisions. For many offices, these tools are no longer optional. They are signals of seriousness. Incentives as Architecture A well-designed LTIP is more than a pay packet. It is architecture. It shapes behaviour, clarifies expectations, and encodes culture. Some offices structure LTIPs purely around performance. Others build in retention triggers or governance-based milestones. A growing number now include qualitative factors, from ESG engagement to succession readiness or philanthropic leadership. In doing so, families are using compensation not just to incentivise, but to align. This is where design matters most. A plan that rewards only financial performance might deliver returns, but erode trust. A plan that reflects shared purpose creates a different kind of loyalty. Done well, LTIPs become instruments of continuity. They create a horizon that both principals and professionals can walk toward together. Mutual Commitment in a Mobile World Talent is more mobile than ever. Family offices are no longer protected by informality or location. Loyalty must now be built through structure, clarity, and shared upside. But the shift to LTIPs is not only about retention. It is about reciprocity. However, these plans obviously require buy-in from both sides. Professionals must commit to a longer-term vision and families, in turn, must codify trust, often for the first time. This mutual commitment changes the nature of the office. It transforms it from a personal platform into an institutional entity. And in doing so, it prepares it for continuity. Compensation as a Compass Incentive programmes are just tools. But their use and uptake are also a signal. A reflection of how a family sees its future, and who it wants to take them there. Family offices have many questions, but in 2025, compensation is viewed more strategically than ever before. A view that blends finance with philosophy, and reward with responsibility. For family offices serious about long-term alignment, legacy, and culture, the question is no longer whether to introduce LTIPs. The question is how well they are designed and what they are designed to say.
