Buffett Stings Hedge Funds Anew Over Their `Misbegotten’ Rewards

Warren Buffett’s sweeping endorsement of index investing is sure to sting the hedge-fund industry and encourage the stampede into assets that passively track the market.

In his well-read annual letter to Berkshire Hathaway Inc. shareholders on Saturday, he estimated that investors wasted more than $100 billion on high-fee Wall Street money managers over the past 10 years. He declared an early victory in his decade-long bet that a basket of hedge funds would fail to keep pace with an an S&P 500 Index fund. And he called Jack Bogle, the Vanguard Group founder who pioneered low-cost market trackers, a “hero.”

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As Investors Search for More Alternatives to Boost Returns, Private Equity Tops the List

Institutional investors complain about not finding the right opportunities, terms and possible partners, particularly when investing in private equity, real estate, infrastructure and hedge fund deals.

Institutional investors are ramping up their appetite for alternatives, including exotics such as unlisted infrastructure and private debt, but continue to be dissatisfied with hedge funds, according to Preqin’s H1 2017 Investor Outlook.

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Sebi to open commodities route for AIFs

The board of the Securities and Exchange Board of India (Sebi) has initiated the process of opening up the country’s commodity derivatives market to new participants. The regulator will initially allow Alternate Investment Funds (AIFs) to invest in commodity futures.

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