PRNewswire
JERSEY CITY, N.J.
(NYSE:BK)
Nov 9, 2009
JERSEY CITY, N.J., November 9, 2009 — Pershing LLC, a BNY Mellon company, and Finadium LLC, have published a new independent study that examines the continued emergence of investment managers in the equity long and short marketplace and their convergence with hedge funds.
The report entitled, Competition and Convergence: The Evolving Landscape for Hedge Funds is available through Pershing Prime Services and BNY Mellon Alternative Investment Services. The study indicates that while investment managers have relatively few assets in equity long and short investment portfolios, this segment of the market continues to grow rapidly as firms seek to diversify their business lines and compete with hedge funds. This new competition for assets has pushed some hedge funds into long-only investment strategies and others towards retail distribution. The report suggests that investment managers will become more important to hedge funds as potential partners in product offerings and mergers and acquisitions. Key findings from the study include:
Craig Messinger, managing director of Pershing Prime Services, said, "As investment managers increasingly expand into the equity long and short marketplace, hedge fund managers need to provide their investors with a distinct value proposition that uniquely positions them in the marketplace. Exploring new investment strategies, embracing potential merger and acquisition opportunities and offering clients innovative separately managed account solutions are several tactics hedge funds should consider to help continue growing their businesses."
Josh Galper, managing principal of Finadium LLC, said, "The growth of long and short mutual funds provides hedge fund managers with an exceptional opportunity to reach a new investor base with a relatively easy-to-understand, high-value offering. We expect long and short mutual funds to be an important asset gathering investment solution that will continue to help investors and fund managers achieve their financial objectives."
Pershing Prime Services delivers an unconflicted, comprehensive suite of global prime brokerage solutions, including extensive access to securities lending, dedicated client service, robust technology and reporting tools, worldwide execution and order management capabilities, a broad array of cash management products and the integrated platform of BNY Mellon. Pershing Prime Services is a service of Pershing LLC. A copy of Pershing's new whitepaper and additional information about Pershing Prime Services' capabilities and solutions can be found by visiting www.pershingprimeservices.com.
Pershing's parent company, BNY Mellon, also provides a wide range of administration services to hedge funds, funds of hedge funds and private equity assets through BNY Mellon Alternative Investment Services, one of the world's leading providers in this market segment with more than $200 billion in hedge fund assets under administration. In addition to hedge fund administration, BNY Mellon offers a wide range of accounting, cash management, collateral management, custody, asset management and wealth management services to the hedge fund industry.
Pershing LLC (member FINRA/NYSE/SIPC) is a leading global provider of financial business solutions to more than 1,150 institutional and retail financial organizations and independent registered investment advisors who collectively represent approximately five million active investors. Located in 20 offices worldwide, Pershing and its affiliates are committed to delivering dependable operational support, robust trading services, flexible technology, an expansive array of investment solutions, practice management support and service excellence. Pershing is a member of every major U.S. securities exchange and its international affiliates are members of the Deutsche Borse, the Irish Stock Exchange and the London Stock Exchange. Pershing LLC is BNY Mellon company. Additional information is available at www.pershing.com.
BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). BNY Mellon is a global financial services company focused on helping clients manage and service their financial assets, operating in 34 countries and serving more than 100 markets. BNY Mellon is a leading provider of financial services for institutions, corporations and high-net-worth individuals, providing superior asset management and wealth management, asset servicing, issuer services, clearing services and treasury services through a worldwide client-focused team. It has $22.1 trillion in assets under custody and administration and $966 billion in assets under management, services $11.9 trillion in outstanding debt and processes global payments averaging $1.6 trillion per day. Additional information is available at www.bnymellon.com.