Arty-farty

twitter-iconfacebook-iconlinkedin-iconmail-iconprint-icon
Search supported by
comment-speech

Tales have emerged from hedge fund land where evidence suggests that many join for its exclusivity, as much as for the supposed stellar returns.

Greg Davies, head of behavioural quant finance at Barclays, was talking about investing behaviour at the CSFI roundtable on art as an asset class.

Apparently, there was one hedge fund where the management decided to lower minimum investment from £250,000 to £10,000. The consequence was that all those who bought in at the upper level bailed out.

They fled, said Mr Davies, “because it was a less exclusive club now, and they didn’t like to belong to a less exclusive club”.