Hendry shuts Eclectica AM saying 'it wasn't supposed to be like this'

Firm founded 12 years ago

clock
Hugh Hendry
Image:

Hugh Hendry

Well known hedge fund manager Hugh Hendry is to close Eclectica Asset Management, which he founded 12 years ago after leaving Odey AM, following a tough period for his macro strategies.

In a letter to investors, Hendry said the substantial risk book of his flagship Eclectica fund - which has slumped 9.4% this year through August - "became strongly correlated over the short term to the maelstrom of President Trump and the daily news bombs emanating from the Korean Peninsula." This, coupled with the increasing regulatory burden, had been making it impossible to manage small pools of hedge fund capital, he said. Hendry highlighted the potentially "strange environment" where in the absence of any recognisable asset bubble, risk assets should continue to trend positively....

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Funds

The ETFs aim to overcome traditional yield shortfall by using multi-factor investing.

Invesco launches two ESG credit ETFs

Invesco has launched two new ESG ETFs that provide investors with access to investment grade fixed-rate euro-denominated unsecured corporate bonds from global issuers.

clock 29 June 2022 • 2 min read
The ETF will be available to investors on London Stock Exchange for a total expense ratio of 0.35%.

Franklin Templeton launches Catholic EM sovereign debt ETF

Article 8 ETF for European investors

clock 28 June 2022 • 1 min read
Alex Wright of Fidelity International

Fidelity's Alex Wright: People have misunderstood OMV Russia exposure

'Sentiment is overly pessimistic'

clock 23 June 2022 • 3 min read
Trustpilot