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All GLG News Analyses Filed Under: Asset Management & Private Banking

Analyses are solely the work of the authors and have not been edited or endorsed by GLG.

South African Fund Companies, Disinvestments Increasing

September 3, 2009

GLG Expert Contributor

gold and the south african market | www.investmentsforlife.co.za

Noticeably more and more consumers are withdrawing their funds from traditional group schemes such as Pension and Provident Funds. The main reason for that is due to non compliance to contract obligations on no return on investment.

Buyer Beware - Distressed Debt Investing is a Different Game this Time

September 2, 2009

GLG Expert Contributor

BT Pension fund plans distressed debt investments | uk.reuters.com

Many institutions, endowments and pension plans are considered increasing their investments in distressed debt. However, despite many managers showing excellent returns in the space in the past, the current distressed debt cycle could be very different, and returns could be disappointing for those electing to invest in the space in the traditional manner.

The reasons for an Acquisition Aren't Always Apparent

September 1, 2009

GLG Expert Contributor

eBay Inc. Signs Definitive Agreement to Sell Skype in Deal Valuing Communications Business at $2.75 Billion | news.moneycentral.msn.com

eBay just agreed to sell 65% of Skype to private investors. Because Skype has been around for several years and has not preformed as expected, we have to ask "why invest?"

Money Market Mutual Funds Should Continue To Worry Investors

August 26, 2009

GLG Expert Contributor

Volcker Says Money-Market Funds Weaken U.S. Financial System | www.bloomberg.com

Money market mutual funds should continue to worry investors, as they were at the very heart of the sub-prime crisis that caused our financial markets to melt down not once, but three times over the last two years. Paul Volcker, the former Federal Reserve Chairman, was interviewed by Bloomberg News and his comments are very newsworthy, but money-markets are not a "sexy" segment of the financial markets, so the media will likely ignore his warnings. His warnings need to be heeded.

Hard Times for VC Firms

August 21, 2009

GLG Expert Contributor

Venture capital industry sees glimmers of hope but is still in a deep slump | www.mercurynews.com

There's not much in the news about the health of FC firms. They are getting squeezed from low investment activity, reduced valuation on portfolio companies, and very little fund raising activity. Large public companies like IBM, Cisco, and Microsoft are turning a renewed eye towards monitoring private companies' health. The VC firms who are working with the pro-acquisition companies could be at an advantage when the clouds part.

Private market is peaking out from its shell

August 20, 2009

GLG Expert Contributor

Investors eye top startups as IPO market awakens | www.reuters.com

While the public markets have shown signs of life, pressure is being placed on VC firms to invest and private companies in a position to go public. Don't expect too much activity until the economy improves.

Bank M&A and synergies

August 20, 2009

GLG Expert Contributor

Barclays investors seal BGI deal | uk.reuters.com

Financial institution acquisitions are different from strategic purchases. For banks to acquire, they are looking to expand geographically . The synergies are typically overhead and overlap in costs. If the cuts are too deep, in this case pension, tension among the newly acquired personnel can get tight. This could cause a loss of business should employees decide to leave.

There is less than meets the eye in this hoopla about SWFs!

August 18, 2009

GLG Expert Contributor

New sovereign funds to emerge as crisis eases | uk.reuters.com

Doubling of money managed by SWF in ten years is just 7 per cent more pa on average and that is both from return on investment and additional funds. So how rapid is it really and how good a return is it? In both cases, not very. Are SWFs really going to invest in risky assets on those assumptions of returns? Not really, especially given their losses in stock markets and alternative investments since 07.

Investing in an exit strategy

August 18, 2009

GLG Expert Contributor

Europe's buyout firms eye IPOs | uk.reuters.com

The IPO days from 20 years ago glamorized the industry. Having the power and punch to launch a successful IPO and realize a first day return is limited to a select few companies in this market. Private companies whose sole exit strategy is an IPO are setting the stage for risky investments.

Restructuring Wave

August 18, 2009

GLG Expert Contributor

HIG Capital sees potential in European distress | uk.reuters.com

As the market looks to better days in the economy, VC firms are looking for ways to invest in the private sector. Replacing debt for those companies in a position to rebound is a strategy with many pluses, but unfortunately the field for candidates, both buyers and sellers, are very limited.

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