With more hedge funds in the United States than Taco Bells, the premise of a few smart people extracting outsize returns from opportunities few others see can seem anachronistic. In the face of a years-long bull run in traditional equities, many alternative investments have struggled to beat the very indices with which they steadfastly avoid correlation. Is this still a cogent strategy? Does the recent underperformance of many alternatives make this out-of-favor asset class an attractive opportunity now? How can smart investors differentiate well-reasoned alternative strategies from tax-inefficient black-hole theory trading gymnastics? Alts’ illiquidity carries an opportunity cost for investors, but does the diversification realized in the process offset that perceived disadvantage? And with hedge funds, private equity, real estate, distressed, long/short, etc., bearing the moniker–just what is an alternative investment, anyway? This panel will explore alternatives’ role in the investment landscape and offer insights on where opportunities and risks are emerging.
Emanuel Friedman, CEO, EJF Capital
Gordon Fyfe, President and CEO, Public Sector Pension Investment Board
Michael Hintze , Founder and CEO, CQS
Leon Wagner, Chairman and CEO, LWPartners
Kneeland Youngblood, Founding Partner, Pharos Capital Group
Andrew Whittaker , Vice Chairman, Jefferies LLC; Vice Chairman, Leucadia National Corporation
Michael Hintze On The Alternate Reality of Alternative Investments