Hedge Fund Advisory
Olivier Bentin, our special adviser, has over the past 15 years mined talent, structured and managed diversified portfolios in the alternative investment field. Jean Arnaud is an expert in the field of administrative fund management so that he is in a unique position to assess hedge fund managers in the different aspects of running their business from an operational standpoint. Unlike "fund of funds" which rely most often exclusively on public databases, Olivier established and maintains a farm of hedge fund managers. His experience is readily available to high net worth individuals interested to invest in this field.
The hedge fund industry is most widely known for the excesses of its pay structure, more recently for its inability to generate return for the industry as a whole. It is also known for attracting the best and the worst money managers. Sorting the wheat from the tares is therefore an essential precondition so that the "best ingredients"can be combined to construct optimal portfolios entrusted to the right skillset and investment themes. The expectations for investing in hedge funds should be to reap good "risk adjusted" returns throughout the ups and downs of equity markets cycles, rather than to seeek high double digit returns.
A "Hedge Fund Advisory" mandate with BentinPartner will:
1. Give you instant access to a wealth of experience in alternative investments. We will handle the selection process for you, maintain due diligence reports, visit hedge funds onsite and handle the relationship with hedge fund managers.
2. Suppress the multiple layyers of fees charged by typical "funds of hedge funds", replacing it with a 1% annual flat fee, independent of the performance achieved and reduced to 0.5% annually if the portfolio does not deliver more than 4%, net of fees at the end of each reporting year, based on audited hedge fund results.
3. Get instant access to detailed due diligence reports established for every eligible fund into our program.
4. Benefit from quantitiative optimisation engines for your portfolio construction.
5. Maintain complete control on your account (unlike what is possible with "funds of funds") as hedge funds investments will be bought and sold directly into your account with your authorisation.
In line with our general policy and in order to avoid any conflict of interest, BentinPartner contractually commits not to receive any introductory fees from hedge funds incorporated in its list of recommended managers. Given the importance of diversification and minimum tickets required by individual hedge funds, the entry level for a Hedge Fund advisory mandate is USD3mn.
Please note that published indices of hedge funds performance are only indicative of the average performance of hedge funds by investment type and that they are often not replicable. Furthermore, listed "funds of funds" that claim instant diversification for smaller sizes are often marred with much higher and less transparent performance fees than our offering.
For more information on our Hedge Fund advisory services, please contact Olivier@Bentinpartner.ch and we will organize a meeting for you in our offices in Basel.