State Street Global Advisors targets hedge fund returns with alternatives portfolio

Replicate hedge fund beta returns

State Street Global Advisors has launched a Global Alternative Beta fund aimed at approximating the returns of hedge funds as a broad asset class.

Tasked with determining the market factors that have been responsible for driving recent hedge fund returns, the strategy aims to "dynamically replicate those exposures" by increasing its liquidity relative to directly investing in hedge fund.  SSGA delists five ETFs from European exchanges to concentrate liquidity According to the firm, "by replicating hedge fund beta returns through a systematic process, costs are reduced". Registered in the UK, Ireland, Netherlands, Luxembourg, Switzerland, Finland, Norway and Denmark, the fund has received an initial seed capital investment of ...