Fund of Hedge Funds Transparency
Fund of Hedge Funds Push Managers on Greater Transparency
It seems that pressure on hedge funds to provide greater disclosure is coming from all sides, as fund of hedge funds join in calling for greater transparency. Hermes BPK Partners' fund of hedge funds unit has put together a working group of other fund of hedge funds to push for more disclosures by hedge funds and to figure out how to exercise greater leverage over their managers."It's essentially a small group of peers with shared experiences talking about how they interact with underlying managers and exchanging information," said Hermes CEO Perruccio.
"One thing funds of hedge funds can improve is actively managing their relationship with underlying managers to improve alignment."
He declined to give further details of the meeting or to say whether or not the group would push hedge funds to change their behavior.
"The group will be discussing many issues facing the industry, including those important to Hermes BPK Partners, such as 'smarter' transparency," said Matteo Perruccio, chief executive and founding partner of Hermes BPK.
"Instead of focusing on the quantity of information we want to focus on getting information that is truly useful for us and the end investor." Source
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