Market support for MSCI hedge fund index
Globalratings and benchmark provider MSCI now has in excess of $1.5 billion in assets linked to its hedge fund index eight months after its market introduction.
MSCI president and chief executive Henry Fernandez says the adoption of the underlying funds — 82 of them — in benchmarking to the new index demonstrates the global investment community’s rapid acceptance of the tool and boosts the group’s position as a hedge fund indexer.
MSCI has also announced it will now publish the MSCI Hedge Invest Index on a daily basis — having only done so to date on a weekly basis — to coincide with weekly released liquidity levels of the index’s constituent funds.
According to the group, the hedge fund index was kicked off in order to meet demand for a benchmark comprising “a diverse sample of hedge funds that have weekly liquidity and representing a broad range of hedge fund strategies”.
The index is constructed and maintained according to the MSCI Investable Hedge Fund Index Methodology SM and using eligible funds from Lyxor Asset Management’s managed account platform.
Lyxor is a subsidiary of Société Générale and is responsible for estimating constituent fund net asset values.
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