2013 Key Trends in Latin American Hedge Funds


Sharing this information from Eureka Hedge website. Credit of this article Eureka Hedge.

Since the start of the new millennium the Latin American hedge fund industry has witnessed tremendous growth, both in terms of number of funds and assets under management (AUM). During this time the total number of funds in the industry has increased from just over 100 to nearly 500 – an increase of 500% in the fund population, while AUM has witnessed even more impressive growth. As at end-2000 total AUM in Latin American hedge funds stood at US$2.6 billion, while this figure stands at US$62.3 billion as at end-March 2013.

The industry witnessed some losses and redemptions during the financial crisis, amid falling equity markets globally and heightened volatility across different asset classes. Total AUM fell below the US$40 billion mark in 2009 as managers suffered some losses while investors withdrew substantial capital from the funds. In comparison to other regional hedge funds, the Latin American sector performed admirably through the financial crisis – the Eurekahedge Latin American Hedge Fund Index declined by only 5.70% in 2008 while the average global hedge fund posted losses of 9.76% during the year.

Figure 1: Industry growth since 1999

The sector witnessed a remarkable rebound after the first quarter of 2009, gaining more than US$15 billion in the last nine months of the year. Total AUM reached US$54.5 billion at the end of 2009 as managers gained US$5.9 billion through excellent performance and US$9.2 billion through net positive asset flows.


The safe in my house

A picture is worth 1000 words. This safe has been through a lot. Tell its story.

Image credit: “safe” – © 2007 Paul Keller – made available under Attribution 2.0 Generic

There came the day when i was removing all the scrap from my house , after all if things go old and unused they should be replaced. But this is good only till the point we only stick to replacement of things And i looked at this safe. Does it have life ?  I kept looking at it. Its doors the cabinets inside. It has been protecting my valuables all these years . Yes , it has life. Had it not been there , some day i would have either got my valuables misplaced or stolen. So this safe is like the guard to the entrance of the castle , which had gold whose worth could not be imagined.

And now that this soldier has grown old i am throwing it off from my house. So whats the fate of this safe. Shall it be thrown out or it be used ? Well it cant be used. But yes if it has life , it has to die some day. So i kept it around a corner where i could see it slowly going to perils happily . At least i wouldn’t have the sin of throwing it off leaving for no one but on its own.