Net inflow of $7.9 billion in February came after five months of outflow and placed hedge funds in positive territory for 2017, according to eVestment. That brought the industry's assets under management to $3.085 trillion, the greatest amount since July 2015.
Public consultation by the Investment Association seeks comment on an industry standard for reporting asset-management charges and transaction costs. The group aims for the standard to comply with rules such as Europe's revised Markets in Financial Instruments Directive.
Commodity trading advisers were down 1.6% in the week ending March 21, according to Lyxor Asset Management's Hedge Fund Index, which declined 0.3%. A move toward long positions on US equities and a weakening dollar are among reasons cited.
The Malaysian central bank is considering a move to encourage short selling of government bonds to boost liquidity and strengthen financial markets. The move would counteract four months of outflow sparked by an investor exodus after the government got tougher on trades of offshore nondeliverable ringgit forwards.
National Retirement Planning Week, starting April 3 this year, provides an ideal opportunity to consider annuities as a retirement-funding tool, says Cathy Weatherford, president and CEO of the Insured Retirement Institute. The option of using annuities is a major reason why advisors are needed to "walk the client through the planning process and help them with their financial education," she says.
Longevity income annuities aren't currently offered by defined-contribution retirement plans, but that could change, says Olivia Mitchell of the University of Pennsylvania's Wharton School. "There has been discussion about including them in the target-date suite of funds, and some employers are actively looking for options," she says.
Millennials younger than 30 are supporters of 401(k)-plan features that take effect automatically, a survey by J.P. Morgan Asset Management found. They approve of target-date funds and other qualified default investment alternatives, as well as features that automatically enroll workers in defined-contribution plans and automatically increase contributions.
Industry leaders and academics voiced opinions on the Volcker rule during a hearing of the House Financial Services Subcommittee on Capital Markets, Securities and Investment. Ronald Kruszewski, chairman and CEO of Stifel Financial, criticized the rule's vague wording and called for revision, while Charles Whitehead of Cornell University questioned the validity of data used to enforce the rule.
Industry leaders urge financial advisors to use as little jargon as possible when talking to clients. Paul Blease, director of OppenheimerFunds' CEO Advisor Institute, acknowledges some investment topics are complex but says they are better explained through common language, metaphors and analogies.