Potter doubting skills of many absolute return managers

Ten of 17 funds in the recently created Absolute Return sector failed to deliver positive performanc...

Ten of 17 funds in the recently created Absolute Return sector failed to deliver positive performance in Q2, according to Thames River's Gary Potter. In the group's Fund Watch report, put together by the multi-manager team, Potter said the period saw tough markets but the negative returns in the sector is probably down to managers not familiar with the strategy. "My cynical view would be that not many managers are good at doing absolute return," he added. "The concept is a great idea but there are not many managers who can run a short book as well as long. I suspect those who failed t...