Managing Risk in Alternative Investment Strategies: Successful Investing in Hedge Funds and Managed Futures - Hardcover

Jaeger, Dr Lars

Hardcover

ISBN 10: 0273656988 ISBN 13: 9780273656982

Publisher: Financial Times/ Prentice Hall, 2002

Synopsis

The widespread interest in hedge funds and managed futures can be attributed to the attractive risk-reward characteristics of Alternative Investment Strategies (AIS) as well as their low correlation to traditional asset classes. However, in order for AIS to achieve their full potential, the industry must address investor concerns about the diverse risks of AIS investments as well as the lack of investment transparency, low liquidity and long redemption periods.

Managing Risk in Alternative Investment Strategies

provides a concise guide to the latest thinking in AIS risk for investment professionals and elaborates on the emerging ‘transparency model’ which provides the backbone of solid risk management.

The book discusses the ‘art and science’ of effective hedge fund risk management including:

• the properties of Alternative Investment Strategies (Hedge Funds and Managed Futures)
• a thorough discussion of the underlying investment strategies
• a comparison of the specific risks of each strategy
• an outline of modern financial risk analysis tools
• the principles of risk management in an AIS portfolio.

Managing Risk in Alternative Investment Strategies is an ideal guide for investment professionals looking to reap the rewards of alternative investment strategies and control their risk effectively.

About this title

About the Author

Lars Jaeger

is a Partner of Partners Group, one of the largest European alternative asset managers, based in Zug, Switzerland. He was a Managing Director and Co-founder of saisGroup, a Swiss based specialist firm for multi-manager AIS portfolios, which merged with Partners Group in late 2001, and is now responsible for risk management of the diverse AIS investment products of Partners Group.

Lars Jaeger holds a PhD in theoretical physics from the Max-Planck Institute in Germany and worked as a researcher in different areas of theoretical physics (quantum field theory, atomic physics, and chaos theory).

Lars worked for two years at Olsen and Associates in Zurich as a quantitative researcher, where he designed econometric and mathematical models for financial markets (systematic trading models, portfolio and risk management).

He subsequently worked at Credit Suisse Asset Management, where he was responsible for risk management and quantitative analysis of Hedge Fund and Managed Futures strategies.

From the Back Cover

"Lars Jaeger is to be congratulated for taking the mystique out of alternative investment strategies and putting sound risk management methodology into its place. I am convinced that this book will become the prime reference on AIS for many years to come."

Paul Embrechts, Professor of Insurance Mathematics, ETH Zurich

"More and more investment professionals see alternative investment strategies as a new paradigm in asset management. However, press coverage suggests that the hedge funds bubble has not yet burst. The hedge fund area has traditionally been shrouded in myth and misrepresentation. Managing Risk in Alternative Investment Strategies provides what is desperately needed: transparency."

Alexander M. Ineichen, CFA, Managing Director, UBS Warburg, London

"The hedge fund industry is attracting more and more interest after the disappointing performance of financial markets. Lars Jaeger's book clearly and concisely presents the issues and sheds much needed light on this industry. His rigorous description of the most advanced risk management techniques and their application to the hedge funds makes it an indispensable tool for professional investors who want to venture in this field."

Dr. Michel M. Dacorogna, Manager Financial Analysis and Risk Modeling, Converium Ltd

"Risk management and transparency have become key issues for portfolio managers and investors interested in alternative investment strategies. Lars Jaeger finally gives a much needed, clear and practical, treatment on risk management principles for hedge funds and managed futures. This book is a must read for anyone interested in this rapidly growing investment area"

Dr. Dan Rosen, VP Research and New Solutions, Algorithmics

 

Alternative Investment Strategies, such as hedge funds, can enhance returns and reduce risk of a global investment portfolio. However, managing their ‘risk dimension’ is critical to success.

Managing Risk in Alternative Investment Strategies

provides insight into the latest thinking about hedge funds and hedge fund risk management, elaborating on ways to approach some of the main problems and obstacles of this new investment class.

Edition details

• Publisher: Financial Times/ Prentice Hall
• Publication date: 2002
• Language: English
• ISBN 10: 0273656988
• ISBN 13: 9780273656982
• Binding: Hardcover
• Number of pages: 320