SIMON MUMME

Diminishing returns from many hedge funds and the Madoff fraud have caused institutional investors to intensify their due diligence on hedge funds, and demand more liquidity, transparency and lower fees, according to research from alternatives specialist Preqin.

The future of independent consulting firms in the US is under threat as one of the largest truly independent firms, Callan Associates, signs a definitive agreement to merge with global giant Mercer.

The Abu Dhabi Investment Company (ADIC) has become an investment advisor to Germany’s second largest private bank, BHF-BANK.

To combat the financial crisis, Khazanah Nasional Berhard, the US$25.7 billion investment arm of the Malaysian government, will focus on catalysing domestic economic growth and continuing its program of strategic cross-border investments.

As Harvard Management Company (HMC) begins shedding 25 per cent of its workforce after incurring a 22 per cent loss since the beginning of the financial year, its investment consult, US firm Cambridge Associates, says the “endowment model” is not impaired.