Ireland, Luxembourg and Malta are discussed as Ucits hedge fund jurisdictions. Funds of Ucits hedge funds, platforms, fund administration, exchange traded funds and structured products are examined.

Overview Although the Ucits brand is fast gaining global recognition, there are concerns that hedge fund Ucits may be stretching the rules. Many managers have launched or are considering adding Ucits fund structures.

Fund administration of Ucits Ucits hedge funds present some challen ges for fund administrators although those who have the right experience and expertise are expected to win more business.

Jurisdiction: Ireland Ireland faces a battle to win dominance for Ucits hedge funds. The industry believes its expertise with complex strategies should make it a natural choice for hedge fund Ucits products.

Jurisdiction: Luxembourg Luxembourg is keen to attract Ucits III-compliant funds. While it has a strong marketing and distribution history, its fund administration of alternatives is weaker than some of its rivals.

Jurisdiction: Malta Seen as the new kid on the block by many, Malta has several advantages. Its small size means it is responsive, flexible and innovative.
Platforms Ucits hedge fund platforms are beginning to attract substantial institutional investor interest.

Indexes, ETFs and other products The Ucits hedge fund brand is being slowly expanded to index products and exchange traded funds. Deutsche Bank, Marshall Wace and BlackRock are leading the way and more fund managers are expected to follow.

Fund of Ucits hedge funds Ucits funds of hedge funds are increasing as single-manager hedge funds rise in number. However, choice of managers is limited and there is tendency for a concentration in a few strategies. Diversification could be a real issue for the future.

Statistics Exclusive statistics from Eurekahedge on the 30 funds by fewest negative months, funds by lowest annualised volatility since inception and top funds by annualised performance since inception.[asset_library_tag 1483,]

Eurekahedge statistics

General graphical information on Ucis hedge funds