Beachhead Capital Management’s Dynamic Beta Strategies Added to Mercury iFunds™ Digital Platform for Alternatives

Press Release–New York, NY., Feb. 14, 2017 — Beachhead Capital Management’s (Beachhead) Equity Hedge Dynamic Beta and Managed Futures Dynamic Beta strategies have been selected for inclusion on the Mercury iFunds™ platform, a state of the art, end-to-end digital solution with a broad range of alternatives products across the liquidity spectrum. “We are very proud to partner with Mercury and the iFunds™ platform. This will enable a broader range of advisors to access our low cost, liquid alternative investments strategies,” said Andrew Beer, Managing Partner of Beachhead.  “Our collaboration addresses investor demand for prudent diversification without high fees and illiquidity.” Beachhead’s Equity Hedge Dynamic Beta and Managed Futures Dynamic Beta strategies …

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Hedge fund investors apply core-satellite

Link to P&I article with a quote from Andrew Beer Strategy an answer to issue of higher fees for mediocre performance by Christine Williamson — February 6, 2017 Excerpt: Institutional investors are beginning to dramatically restructure their hedge fund portfolios, pairing a core allocation of cheaper alternative beta investment strategies with a satellite portfolio of alpha-generating hedge funds. The trend is nascent but gradually gaining converts, attracting interest from asset owners fed up with paying hedge fund managers high fees for promised alpha that turns out to be market beta, observers said. Money managers and consultants report they’ve seen huge …

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It’s Time to Clean Up Managed Futures Mutual Funds

Our latest commentary on the liquid alts space has been published in WealthManagement.com: It’s Time to Clean Up Managed Futures Mutual Funds “Fair fees” and “managed futures” have been the investment equivalent of an oxymoron. by Andrew Beer Click here to read the full article

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Barron’s: How Some Hedge Funds Have Ripped You Off

In his most recent article in Barron’s, Andrew Beer lays out the unsavory ways many funds have been marketed by wealth managers. Excerpt: If you’ve been invested in hedge funds over the past decade, you probably feel cheated. And you should. No, the problem isn’t that you were overcharged by hedge fund managers – they’re simply tried and true capitalists seeking to maximize profits. The bigger issue is that the cottage industry of advisors, consultants and private bankers who put you into hedge funds in the first place were supposed to watch your back…and didn’t. The problem: Most people in …

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Barron’s: Hedge Fund ETFs Disappoint

ETFs that aim to replicate hedge fund returns employ many different strategies—with mixed results. By Sarah Max — December 24, 2016 Excerpt: “Alternative beta “tends to produce more predictable results,” says Andrew Beer, managing partner at Beachhead Capital Management, which uses exchange-traded funds to create its own hedge fund replications for advisors and wealthy individuals. His method: Track the 40 largest long/short hedge funds and use historical information to predict how they will respond to market changes. He then uses ETFs to choreograph similar moves. Barron’s subscribers: click here to read the full article

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Hedge funds fees take a trim

Link to FT article with quote from Andrew Beer Traditional ‘2 and 20’ fees are becoming outdated as managers seek to keep investors happy by: Lindsay Fortado — December 22, 2016 Excerpt: The willingness to negotiate on fees shows how the longstanding 2 and 20 formula for hedge fund fees is becoming outdated. While there has always been pressure on hedge fund managers to reduce their fees, some of the highest in finance, lacklustre performance this year by several of the biggest names in the industry has forced funds who once billed some of the highest rates in the industry …

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How Equity Long/Short Hedge Funds Really Generate Alpha

As Andrew Beer explains in his most recent article in Hedge Fund Intelligence, the largest source of alpha probably isn’t what you think. The typical investor assumes that equity long/short funds generate alpha – or value added – in three ways: stock selection, shorting, and market timing.  This is only partially true. Surprisingly, the largest source of alpha is factor tilts. Click here to register and access the full article, or contact us for additional information.  

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Some hedge funds are poised to make serious money off of Trump’s shocking win

Lots of people were surprised by Donald Trump’s victory in the US presidential election. But some hedge funds positioned themselves for this outcome — and might end up performing better than they did after Brexit. Click here to read the full article and view Andrew Beer’s quote in Business Insider today

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History is Repeating Itself with Trends in Smart Beta

(or, Why the Quality Factor Will Disappoint Investors) In this article in HFMweek, Beachhead’s managing member, Andrew Beer, talks about the quality factor and concludes that, rather than reflect a new risk premium, it is more likely the statistical validation of a long-term convergence of growth and value investment strategies.  As a result, returns going forward are likely to disappoint investors. HFMweek subscribers click here to access this article, or contact us for additional information.

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NYSSA Keynote Presentation: Emerging Hedge Funds: Today versus 2006

In his keynote address to the New York Society of Security Analysts (NYSSA), Andrew Beer shared his views on launching a hedge fund in today’s environment and discussed the many ways in which the process changed over the last decade. This presentation was very well received and we suspect that it will likely be of interest to anyone in the pre-launch or post-launch phase, or simply working to raise additional capital. For more information, please visit NYSSA’s website and feel free to view attached.

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