The SS&C GlobeOp Forward Redemption Indicator for August 2018 measured 2.73 per cent, up from 2.40 per cent in July.
“SS&C GlobeOp’s Forward Redemption Indicator for August 2018 of 2.73 per cent was a very strong result for the hedge fund industry, markedly better than the 3.55 per cent reported for the same period a year ago and the second lowest level of redemption notices for any calendar month of August since the inception of the Indicator in 2008,” says Bill Stone (pictured), Chairman and Chief Executive Officer, SS&C Technologies. “The August 2018 reading of 2.73 per cent continues the generally favourable trend in asset retention that we’ve seen over the past year and a half, indicating investor confidence in hedge funds remains high.”
The SS&C GlobeOp Forward Redemption Indicator represents the sum of forward redemption notices received from investors in hedge funds administered by SS&C GlobeOp on the SS&C GlobeOp platform, divided by the AUA at the beginning of the month for SS&C GlobeOp fund administration clients on the SS&C GlobeOp platform. Forward redemptions as a percentage of SS&C GlobeOp’s assets under administration on the SS&C GlobeOp platform have trended significantly lower since reaching a high of 19.27 per cent in November 2008. The next publication date is September 24 2018.
Published on the 15th business day of the month, the SS&C GlobeOp Forward Redemption Indicator presents a timely and accurate view of the redemption pipeline for investors in hedge funds on the SS&C GlobeOp administration platform. Movements in the Indicator reflect investor confidence in their allocations to hedge funds. Indicator data is based on actual investor redemption notifications received. Unlike subscriptions, redemption notifications are typically received 30-90 days in advance of the redemption date. Investors may, and sometimes do, cancel redemption notices. In addition, the establishment and enforcement of redemption notices may vary from fund to fund.