Gottex Assets Under Management
Hedge Fund Gottex's Assets Slip in First Quarter of 2010
There is at least one sign that raising assets for hedge funds won't be as easy as simply having a great year of returns. Although 2009 surely boosted investor interest, if hedge fund managers want to keep adding assets they will have to prove that they can improve on that already strong performance. Gottex revealed last week that its fee-earning assets slipped 2.6% in the first quarter of 2010 despite positive performance in Q1.
Alternative asset manager Gottex (GFMN.S) said on Friday fee-earning assets fell 2.6 percent in the first quarter of 2010 as client withdrawals outweighed market gains and inflows from an acquisition.
Total assets slipped to $7.9 billion at the end of the quarter from $8.1 billion at year-end as Gottex continued to wind down its asset-based strategies, where assets fell by 8 percent.
Despite the fall in assets, Gottex chairman and CEO Joachim Gottschalk said the company was on track in its efforts to focus on its core business of generating absolute returns, or positive performance in its funds regardless of market direction.
He also said the company, which has a strong balance sheet and is debt-free, is in the market for acquisitions.
"I believe Gottex, as a larger well-resourced firm, is well positioned for the next wave of growth that the hedge fund industry will undoubtedly see," Gottschalk said in a statement. Source