Institutional Investors Managed Accounts
More Demand from Investors for Managed Accounts
Institutional investors are demanding more managed accounts and many fund of hedge funds are obliging. A recent Preqin survey found that almost one fourth of institutional investors are seriously considering a first time allocation to a managed account structure in 2010. Just 16% of those surveyed have already allocated funds to a managed account.Investors said greater transparency (41%), better liquidity terms (22%) and increased regulatory oversight (22%) were the main reasons for considering a managed account.
Managed accounts were most favoured by large institutional investors. Half of those surveyed with a hedge fund portfolio of $1 billion or more had already allocated assets to a managed account, compared to just 3% of investors with a portfolio of less than $100 million.
Managed accounts were most favoured by large institutional investors. Half of those surveyed with a hedge fund portfolio of $1 billion or more had already allocated assets to a managed account, compared to just 3% of investors with a portfolio of less than $100 million.
Over a third (38%) of respondents said managed accounts were too costly, while 11% said they did not have enough resources to invest in a managed account. Source
Related to: Institutional Investors Managed Accounts
- Hedge Fund Tracker Tool
- Fund Marketing and Sales Advice
- Top Hedge Fund Managers
- Free Online Hedge Fund Videos
- Careers & Employment Guide
- Hedge Fund Holdings & Securities Analysis
- Hedge Fund Terminology
- Geographical Guides
- Hedge Fund Startup Tools
Tags: Institutional Investors Managed Accounts, demand for managed accounts, institutional investors, managed accounts, fund of hedge funds