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Liquid Alternatives - Opportunities for Hedge Funds

Amongst our most recently popular papers are those which examine liquid alternatives.

These regulated products with lower investment minimums, such as alternative mutual funds and UCITS, are on the rise, bringing with them newfound potential for smaller investors to invest in hedge funds.

Here are some of the best papers referenced on our site:

1. The Case for Liquid Alternatives in Defined-Contribution Plans (Neuberger Berman, 2015)

Should investment in liquid alternatives be made available as an investment choice in DC pension plans? This 2015 paper from Neuberger Berman paints a picture of the liquid alts landscape and sets out the issues that fiduciaries should examine when deciding whether to include liquid alt as an investment option for DC employees. For those who decide to include liquid alts in their DC plan, a variety of execution strategies are explored.

2. Use of Sub-Advisers and Liquid Alternative Funds: Key Considerations and Legal Issues (Dechert)

This paper from Dechert examines the role of sub-advisers with liquid alt funds, and the associated legal considerations. There has been an increasing trend towards alternative managers opening retail funds or setting up relationships with investment advisers in order to sell retail fund products.

3. Liquid Alternatives: Fund Manager and Investor Outlook (Preqin)

Preqin analyses the subset of hedge funds which is legally structured under UCITS or within the ’40 act regime. The paper reveals who are the investors in these funds, and what are the challenges and obstacles for new providers.