Brad Zigler


Brad Zigler pens's Alternative Insights newsletter. Formerly, he headed up marketing and research for the Pacific Exchange's (now NYSE Arca) option market and the iShares complex of exchange traded funds.

Alt ETP Comings And Goings

The turnover in alternative exchange-traded product landscape is growing evidence of a maturing market.

In June, the segment lost four ETPs but made up ground with the launch of three more and a registration filing for yet another.

AdvisorShares lodged paperwork with the SEC for the Treesdale Rising Rates ETF (anticipated as NYSE Arca: HDGB), an actively managed fund geared to capitalize on increasing yields in the mortgage market.

More Retail Hedge Funds in the Works

Goldman Sachs has set the pace for a new class of retail products by launching a mutual fund-of-hedge funds that can be had for as little as $1,000. Several investment banks are ramping up copycat funds to compete with the Goldman Sachs Multi-ManagerAlternatives Fund (OTC: GMAMX) which was introduced in May.

GMAMX bestows exposure to long/short equity, event-driven trading, relative value arbitrage and opportunistic credit trading for an annual fee, depending upon the class selected, between

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More Losses For Managed Futures

Losses in the managed futures sector continued to mount in June as the Newedge CTA Index closed out the month with a 1.5 percent loss. For the year, the CTA is still up one percent.

June’s culprit was the equity market as most managed futures programs were banking on momentum (read: long) in U.S. and foreign stock indexes. Short positions in the Japanese Yen were also costly. 

Hedgies’ June Swoon

Hedge funds took it on the chin last month, sucker punched by Fed fears. Jawboning by Chairman Ben Bernanke of a slowdown in the Federal Reserve’s bond buying program spooked the equity, credit and commodities markets, cutting into the year-to-date gains scored by many funds.

According to data from Hedge Fund Research, the average hedge fund gained 3.4 percent in the first half of 2013, compared to a 12.6 percent rise in the S&P 500.

Bargain Hunting Along The Yield Curve
A steepening yield curve is giving a boost to some exchange traded products that are geared to benefit. But is it possible to build a cheaper alternative?
Long/Short Equity 
Should you hedge your market bets? One strategy’s paid off well in 2013.
Technical Corner: May 2013 
There’s been a tectonic shift in investor mentality over the past year. Stocks are in; gold is out. But what about gold stocks? They are, after all, stocks. So, have they been swept up in the recent equity buying spree?
Alternate ETF Pioneer Hits The $1 Billion Mark 
IndexIQ, a manufacturer of 14 ETFs including four hedge fund replicants, has surpassed $1 billion in assets. The firm launched the first no-load hedge fund replication mutual fund -- the IQ Alpha Hedge Strategy Fund (OTC: IQHIX) -- in 2008 and followed up in 2009 with the introduction of the IQ Hedge Multi-Strategy Tracker ETF (NYSE Arca: QAI), the first alternative exchange-traded fund, which has since grown to more than $400 million in assets.
Guess What? Hedge Funds Are Expensive 
Goldman Sach’s recent report on the hedge fund industry has confirmed what a lot of investors and advisors have intuitively known for some time: hedge funds are overpriced and produce mediocre returns.
Gold Tries Bottoming 
Gold investors are carefully watching the market for signs that a bottom’s been established at the $1,360 level. Prices have churned in a $120 range for the past six weeks, leading some traders to think that a platform’s been built for an assault on the $1,600 level.
Hedge Funds Chalk Up Another Winning Month 
The hedge fund universe, measured by the Dow Jones Credit Suisse Hedge Fund Index, gained 1.4 percent in April with nine out of ten strategies finishing in the black
Brad Zigler with Harin de Silva and Matt Moran 
This month, you get a twofer. Editor Brad Zigler was lucky to catch up with two thought leaders to talk about the most popular long/short equity strategies.
When Equal Weight Makes Sense
Choosing whether to invest in an equal-weight fund or capitalization-weighted fund of the same index can have a profound impact on returns.
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