Swiss Funds Move Cautiously Into Alternative Investment

by Carla Johnson, InvestorsOffshore.com, London

10 December 2007

A recent survey of Swiss institutional investors by consultant Lusenti Partners showed that hedge funds were the most popular alternative asset class, with funds of funds being the preferred option.

The firm surveyed 146 institutions with aggregate assets of CHF210bn in their ninth annual Swiss Institutional Survey. The institutions said they had suffered little or no damage from the sub-prime liquidity crisis which has damaged investment banks so badly.

The expected return from hedge fund investments averaged out at 5.8%, although higher returns were achieved from investments in commodities (6%) and private equity (7.8%).

However, these essentially conservative institutions, many of them pension funds, allocated only 6% to alternative investments in total, complaining about high costs and lack of transparency.

.

 

 






Write a comment