Executives at one of the largest publicly traded hedge funds are expecting more demand for liquid alternative strategies this year, after they delivered positive returns for investors from the strategy last year.
Shares in Man Group Plc EMG rose almost 9% in London markets on Tuesday after it reported higher pretax profit in 2022, from a rise in management and performance fees. “Our investment strategies delivered valuable alpha for our clients, generating 1.4% of relative outperformance overall,” said Man Group CEO Luke Ellis.
“All things being equal, that should naturally lead to more demand in 2023 for liquid alternatives, especially as so many other investments lost money last year, and that’s certainly reflected in the client conversations I’ve had going around the world this year,” he told analysts on a morning earnings call on Tuesday.