Are BB Asset Management Long-Only

I'd always assumed Asset Management at BBs are long-only. But I'm not sure now. Could someone who has worked in or has friends worked in such a firm enlighten me please?

And what are some typical strategies they use on the equity side? Do they trade derivatives too?

 
Best Response

From conversations that I've had with professionals at independent asset management firms and those at BBs, most mutual fund mandates can short to some extent, and most can and do trade derivatives. From what I understand, fixed income funds tend to short and trade derivatives more frequently than equity funds, and the reason this happens is mostly due to the nature of those markets.

Asset Management firms also manage hedge fund mandates, both BB and independents.

Typical equity strategies fall in two major categories: fundamental and quant. Google will be your friend from here on out.

 
propchop:

From conversations that I've had with professionals at independent asset management firms and those at BBs, most mutual fund mandates can short to some extent, and most can and do trade derivatives. From what I understand, fixed income funds tend to short and trade derivatives more frequently than equity funds, and the reason this happens is mostly due to the nature of those markets.

Asset Management firms also manage hedge fund mandates, both BB and independents.

Typical equity strategies fall in two major categories: fundamental and quant. Google will be your friend from here on out.

Thanks. Very helpful.

 
propchop:

From conversations that I've had with professionals at independent asset management firms and those at BBs, most mutual fund mandates can short to some extent, and most can and do trade derivatives. From what I understand, fixed income funds tend to short and trade derivatives more frequently than equity funds, and the reason this happens is mostly due to the nature of those markets.

Asset Management firms also manage hedge fund mandates, both BB and independents.

Typical equity strategies fall in two major categories: fundamental and quant. Google will be your friend from here on out.

Thanks. Very helpful.

 

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