本文主要简单介绍下本人工作经历中关于对冲基金的业务:
Hedge Funds:Use wide range of complex and sophisticated Investment Strategies
- Investment Vehicles
- Big Bets
- Wide range of assets
- Specialise in sophisticated investment techniques
Prime Brokerage是为对冲基金提供各类服务的desk:
What is Custody(资金托管)，主要是保护客户的资产：(cash,securities,bonds,commodities...)
Clearng...who owes money to whom? who now owns theses securities?（谁欠谁钱，谁拥有这些股票等 ）
settlement...Transfer of ownership ,transfer of cash ,exchange for securities 所有权的转移
Asset Servcing including... Dividend payments(利率结算)Managing corporate actions.
Trade Execution(交易执行):
PB’s can execute trades on behalf of clients or other brokers, and earn a fee for doing so…
Execution means Broker or dealer who finalises and processes a trade on behalf of a customer by different types of execution – Trading floor, electroninc (market makers), orders being filled.
Order to the floor --NYSE still uses this method today
internalisation--Broker fills order from it's own inventory
Electronic communications network(ECN)-- Automatically Match Buy and Sell orders electronically to fill an order
Order to Market Makers--Used on exchanges such as the NASDAQ
What is Margin?
Margin= Protection from Risk
Risk = Exposure to things which could harm you
Risk Management = Finding and measuring those risks so appropriate action can be taken
Margin = Is a way of identifying and protecting yourself from counterparty and market risk
Cash Management and Financing
Cash management and financing, traditionally performed by the Operations side of a Prime Brokerage.
Hedge Funds have LOTS of Cash,Manage client’s cash and provide them with returns on their cash holdings.
In it’s simplest form, financing is a floating line of credit, usually associated to an underlying benchmark like LIBOR.
Client Reporting
As a Prime Broker, we have an obligation to provide our Hedge Fund clients with daily reporting that is accurate and reflect the latest market data and client positions…