Over the past two decades or so, Ucits has become the default fund format for cross-border funds. Since the UCITS IV directive opened up the alternative space for Ucits funds in 2009, the format has become even more ubiquitous. Its dominance has even gone as far that many fund selectors have narrowed down their selection universe to Ucits-only. But is this a sensible way to go?
Tag: Alberto Montero
Alternative Ucits – better than hedge funds?
Demand for liquid funds with a mandate to invest in derivative strategies appears insatiable in Europe, with net fund flows having exceeded €7bn each month since February. And a convincing majority of fund buyers wants to continue adding to their absolute return holdings, according to EIE’s latest data. But do these so-called alternative Ucits funds actually live up to their task of delivering uncorrelated returns? Or are investors better off buying their illiquid and more expensive cousins, offshore hedge funds?
Leveraged China ETF propels Montero to victory in Fund Picker Competition
Montero achieved a total return of 41.37% on his portfolio of eight funds from April 2014 to April 2015. The showpiece of his portfolio is the Direxion Daily FTSE China Bull 3X ETF Fund, a leveraged fund on the Chinese equity market. The fund took full advantage of the rally in Chinese equities following the […]
Market turbulence leaves mark on Fund Picker
The market volatility of recent months has led to a radical shift in fortunes for the participants in EIE’s Fantasy Fund Picker Competition.
Risky fantasies pay off for fund selectors
If fund selectors do not need to take into account risk guidelines or fearful clients when constructing their portfolios, they can achieve amazing returns.