News and Press Releases

ECM In The News


  • Jul 21, 2017

    Listen to Adam Blitz, ECM's CEO & Chief Investment Officer, discuss today's hedge fund landscape on the Capital Allocators Podcast hosted by Ted Seides.



  • Mar 15, 2016

    Alpha. All hedge fund managers claim they have it. Evanston Capital's Senior Investment Strategist, Pete Hecht, Ph.D., knows that few of them actually do, and he’s focused on keeping them honest about it.



  • Mar 11, 2016

    Senior Investment Strategist, Pete Hecht, Ph.D., and Accredited Investor Markets Radio host, Chris Cahill, go beyond the hype and have an honest discussion on the topic of liquid alternatives. (Begins around minute 12)



  • Feb 23, 2016

    Why isn’t Global Tactical Asset Allocation (GTAA) / Global Macro the obvious hedge fund strategy for a typical institutional investor? Compared to a diversified hedge fund program, it presents a lower stock/bond correlation. And doesn’t everyone say, the whole point of a portfolio is to assemble uncorrelated return streams?



  • Feb 22, 2016

    Risk parity strategies came under pressure in 2015 as markets sold off risk en masse and asset classes fell across the board. The performance was a reminder that the strategy, which relies on diversification across equities, fixed income, emerging markets, commodities, etc. and then using leverage to boost returns from a relatively diluted basket of components, is inherently tied to beta, not alpha. However, the idea behind risk parity remains a sound one over long periods of time, writes Peter Hecht of Evanston Capital Management, as long as investors remember what it is, and what it is not



  • Dec 01, 2015

    Defining and measuring risk is foundational to investment management. Although there are many legitimate risk measures available, today's discussion will focus on volatility. Why? First, volatility is the easiest to understand and happens to be the “work horse” of applied modern portfolio theory, which is why it's taught in every classroom and continuously discussed on financial market channels such as CNBC and Bloomberg. Secondly, and more importantly, volatility is unfairly under assault by many smart investors focused on the long term and averse to a permanent loss of capital.



  • Sep 29, 2015

    It seems as though just about everyone in the investment community has pontificated on the role that risk parity strategies play in market sell¬offs like the one in August. Unfortunately, many of the views are coming from possibly uninformed or biased parties, creating confusion and the need for clarification. I’d like to move the debate forward by focusing on the key risk parity portfolio construction technique possibly contributing to market sell¬offs: volatility targeting. To understand the recent debate in the media, you need to understand volatility targeting and how it is used by risk parity managers.



  • Sep 11, 2015

    History provides so many opportunities for learning – even for hedge funds and their investors. Rewind: In 2013 and 2014, hedge funds were criticized for not keeping up with the S&P 500. Fast forward to the present time: In August 2015, despite the average hedge fund outperforming the S&P 500, hedge funds were still criticized for losing money in aggregate while simultaneously being congratulated for finally making money on their short books. What does this all mean? In my opinion, confusion. People are still confused about how to evaluate hedge fund managers (or any active manager), and the concepts involved are foundational to investment management.



  • Sep 08, 2015

    August was a tough month for financial markets. The S&P 500 was down over 6%, and with respect to hedge funds, the typical hedge fund lost money in August. Conventional wisdom criticized manager long positions and praised short positions, but losses on the long book often overwhelmed the gains on the short book. Did hedge funds fail? Not necessarily. But it does represent a teachable moment.



  • Aug 03, 2015

    Let me be clear: I support thoughtfully implemented Global Tactical Asset Allocation (“GTAA”)/Global Macro strategies. But GTAA/Global Macro strategies aren’t a catch-all for building an alternatives allocation, let alone a substitute for a diversified hedge fund program. Sightings of this errant substitution started a few years back and have become more commonplace as the “liquid alternatives” segment has increased in popularity, but it needs to stop.



  • Jul 28, 2015

    Can a registered investment adviser (RIA) construct a portfolio structured along the lines of the endowment model? A good place to start to answer this question would be with another question: If you could do it, why would you want to?



  • Jul 14, 2015

    At a conference I attended recently, the question “do you have too much equity risk?” came up during a risk parity discussion. One of the investors said his portfolio wasn't over allocated to equity risk since he had a long-term investment horizon. His claim: equities are less risky for long-term investors. He reasoned that with a long enough investment horizon, the good and bad return years cancel each other out, leaving the investor with an almost guaranteed return. This logic resonated with many of the other conference attendees.



  • May 28, 2015

    HOBOKEN, NJ - The combined assets of the 25 largest fund-of-funds managers grew at a faster rate than the multi-manager sector as a whole last year.



  • Apr 30, 2015

    For an industry that uses the word “alpha” like it's going out of style, I find it amazing the asset management profession has made so little progress when it comes to actually trying to measure it in practice. Given its importance to active management (no alpha = no active management industry) and given all of the verbal airtime “alpha” receives, you would think managers and investors would spend a healthy amount of time trying to actually measure it on a regular basis. Unfortunately, this is not the case.



  • Dec 05, 2014

    Benchmarking hedge funds can be challenging, but as a former finance professor, I experience heartburn every time I hear the investment community criticize hedge funds for not keeping up with the S&P 500. It is the same type of heartburn I felt when investors thought hedge funds demonstrated skill when they outperformed the S&P 500 in 2008. Both comments reflect a fundamental misunderstanding on how to evaluate hedge funds……or any new investment.



  • Oct 21, 2014

    EVANSTON, IL--Evanston Capital Management, LLC, an alternative investment management firm with approximately $4.9 billion of assets under management, is pleased to announce the addition of Lance Donenberg, Principal & Head of Strategic Business Development, effective October 1. Mr. Donenberg has overall responsibility for the firm’s business development and client service functions. He joined Evanston Capital Management from Man Group plc, where he served as Co- Head of North America and Head of Business Development.



  • Sep 29, 2014

    As a former finance professor, I experience heartburn every time I hear the investment community criticize hedge funds for not keeping up with the S&P 500. It is the same type of heartburn I felt when investors thought hedge funds demonstrated skill when they outperformed the S&P 500 in 2008. Both comments reflect a fundamental misunderstanding on how to evaluate hedge funds…or any new investment.



  • Jul 21, 2014

    EVANSTON, IL--Evanston Capital Management, LLC, an alternative investment management firm, is pleased to announce Don Fehrs, Principal, Risk Management and Research, is the recipient of the Rodney H. Adams Endowment Management Award. The National Association of College and University Business Officers (NACUBO) honored Mr. Fehrs with the award at the 2014 NACUBO Annual Meeting in Seattle.



  • Jul 16, 2014

    Over the past few years, risk parity has become a component of most investors’ lexicons and, possibly, portfolios. Risk parity products have also become more common in many asset management firms’ offerings. However, even with all of the attention on risk parity there is still a significant amount of confusion surrounding it.



  • Jul 08, 2014

    Evanston Capital Management, LLC, an alternative investment firm with approximately $4.9 billion of assets under management, is pleased to announce the launch of the Evanston Alternative Opportunities Fund.


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