25/11/2010
Pictet plans to develop alternative management
p { margin-bottom: 0.08in; } Agefi Switzerland reports that Pictet & Cie is rethinking its alternative management platform. Nicolas Campiche explains that the structure he is responsible for (Pictet Alternative Investments) would like to increase the percentage of its investments directed to “new and less well-known” managers to 60%, up from about half of the EUR10bn it currently has under management. The move will come to the detriment of established stars of the hedge fund industry. “We are trying to reorient our portfolio a little bit to focus more on less well-known, smaller, more flexible entities,” the CEO has told the news agency Bloomberg. Pictet is seeking flexibility and reactivity in an effort to improve returns. “It is a typical post-crisis situation,” says Campiche. “People tend to focus too much on risk and not enough on returns.” According to a survey by Pertrac Financial Solutions, hedge funds with less than EUR100m earned annualised performance of 16% between 1996 and 2007, compared with 11.5% for managers in charge of more than EUR500m in assets.
