Hedge Funds

While doing some research on Man Group, who posted very poor results again and the shares dropped back despite the takeover rumours, I found two Hedge Funds that supposedly have outperformed the market and most other Hedge funds for some years. These are Winton Futures and Blue Crest Capital. Winton Futures was founded by a erudite academic who in fact derived the formulas used by one of Man Groups biggest funds, then  left and did his own thing and apparently created a much better formula. This fund uses mathematics and formulas to trade futures aggressively and has apparently returned 10-15% even through the recession. I cannot work out how Blue Crest works as both are quite secretive, you have to be wealthy to even talk to them. But it also is beating the market consistently. I still feel Man Group may be a buy at below 100p, at that point the dividend yield becomes quite attractive. It seems unlikely they will go out of business as they manage about UKP50bn in funds, and there is still the takeover rumour to make it interesting. |The CEO is stonewalling investors calling for change and seems to think he is on the right track.