Panel discussion: the role of hedge funds and alternative assets in high net worth portfolios

At the Brazil Investment Summit 2010, there was a panel discussion on the role of hedge funds and alternative assets in high net worth portfolios, how do you think their predictions faired up, how accurate was their analysis?

Mauricio Safdie – managing Director SAF & Co

Mauricio introduced the panel discussion by saying

“For the high net worth individual, we have two basically periods: one before 2008 and one after 2008. Before 2008 there was abuse on the high net worth individual, there was abuse from the part of the managers of the funds because probably there was too much investment flow to this area. A lot of people suffered in 2008 from that abuse. What’s happening now is that people are coming back so I think that the hedge fund and alternative investment is definitely best […]. For the high net worth individual looking back, it’s a class (the alternative and hedge fund) which performed quite well on a relative basis. I think people are looking still to invest on coming back from what happened in 2008; I think most of the industry in this area of high net worth came back again to investment and how it was previous to 2008. Talking about Brazil, this didn’t happen with the high net worth individual, starting to look now for Brazilian hedge fund industry, they were looking already for a few years, but 2008 delayed on that view of the high net worth abroad. But what happened in the industry in Brazil was good it, didn’t have side pockets, gates,basically 98% of the industry respect all the mandates that were about to happen and we think that there will be more and more interest from the high net worth individual and there will be more and more investors on the side of the hedge funds in Brazil.”

This discussion was continued by

Cesar Stange President/Founder, GAIA Capital

Salomon Konig Managing Partner CIO, Alba Family Office

To see the full video click here

How do you think Brazilian hedge fund investment will change over the next year?