BusinessWeek – Assets managed by UCITS III funds have increased to $52.3 billion over the last two years amid moves by hedge-fund managers to reach investors seeking funds compliant with European Union rules.
There are about 500 hedge-fund offerings that comply with the directive, known by an acronym for Undertakings for Collective Investment in Transferable Securities, according to Singapore-based Eurekahedge Pte. The funds, which are allowed to use alternative investment strategies such as shorting and leverage to boost returns, have outperformed mutual funds by 15.2 percent over the last three years, the research firm said.
