Credit Suisse: We Have Never Had So Many Traders Saying “We Are Totally Lost”
by Tyler Durden
ZeroHedge.com
Jul 28, 2016
In his latest Global Equity Strategy update piece, Credit Suisse strategist Andrew Garthwaite takes a random walk across Wall Street’s trading desks, and confirms what many know: namely, that nobody actually knows anything.
Garthwaite writes that “his team has come across almost no one who seems to have outperformed or made decent returns this year.” He cites data from Morningstar according to which in the year to July 1st, just 29 out of 242 funds in the Investment Association UK All Companies sector beat the performance of the FTSE All Share. Moreover, the Dow Jones Credit Suisse Long/Short equity index, which tracks hedge fund performance, fell by 5% year-to-date.
As a result, the reaction by active managers to outperform the broader market, or even their benchmark, in a time of surging redemptions, has led to what may be best described as performance paralysis, or better yet panic:
“we have never had so many client meetings starting with statements such as ‘we are totally lost’.”
The Rest…HERE
