In a tough capital raising environment, more hedge funds are bending to investors’ calls for separate accounts.
Stuart Blair agrees that hedge funds are willing to do separate accounts for smaller clients. He says unlike investing through commingled hedge funds, which are “one size, fits all,” institutions get to customize a strategy around their risk tolerance, for instance. In addition, clients get to define the level of transparency that they want.
“Good luck in getting that from the hedge funds themselves,” says Blair.