Jefferies Financial Group Inc. · NYSE:JEF
Jefferies Financial — Q4 2018 Earnings Presentation
11 slides from Jefferies Financial's earnings presentation, December 2018
Slide 1: Tech-tonic Shifts: A Deep Dive on Technology Specialist Funds
Tech-tonic Shifts | A Deep Dive on “Technology” Specialist Funds Q4 2018 Jefferies Prime Brokerage | Capital Intelligence
Slide 2: Overview
Overview In 3Q2018, the Jefferies Capital Intelligence Team interviewed and researched over 50 alternatives allocators with active investments in “technology” specialist funds. Specialist, sector or niche searches make up about 40% of allocators’ open and active Equity strategy searches – of which t
Slide 3: Getting Tech-nical about Defining Tech
Tech-tonic Shifts | Getting Tech-nical about Defining Tech The Capital Intelligence team published a white paper in November 2018 that outlines why and how investors have allocated to technology specialist hedge funds in the past few years through the present. Many allocators report a shift in how t
Slide 4: Tech is not purely a growth strategy for us
Tech-tonic Shifts: Step 1: Motivation for Allocating Technology has at times been responsible for over 50% of market growth in the past two years, but performance is only one of a few key drivers of interest in the space. At the broadest level, diversity of allocator portfolio objectives leads to di
Slide 5: Defining Technology on the Manager Level: Fund Capacity
Tech-tonic Shifts: Defining Technology on the Manager Level Allocators—especially those looking to make second or third allocations to tech specialists—have surprising preferences for fund capacity. That over 75% of allocators prefer capacity-constrained strategies speaks to concerns about the everg
Slide 6: Defining Technology on the Manager Level: Net Exposure
Tech-tonic Shifts: Defining Technology on the Manager Level Allocators—especially those looking to make second or third allocations to tech specialists—have surprising preferences for net exposure targets. Surprisingly, almost half of those interviewed report seeking managers with low net or equity
Slide 7: Gauging and Paying for Performance
Tech-tonic Shifts: Gauging and Paying for Performance Allocators’ views on the above facets of Tech sector funds’ identities—that is, their size, net exposure targets, and their definition of technology and the universe of opportunities that should be included within it—directly impact allocators’ a
Slide 8: Playing the Private Landscape
Tech-tonic Shifts: Playing the Private Landscape An interesting theme to emerge is how crucial allocators feel it is to be plugged into the network of private investors and companies. Allocators broadly agree that effective Tech investing involves participation in—or, at the very least, extensive kn
Slide 9: Going Global
Tech-tonic Shifts: Going Global Forward-thinking investors are looking globally as they construct their portfolios, on both the private and public sides of their books Conversations about private investments were more global and specific than those about public regional exposure. While most Technolo
Slide 10: What Does This Mean for Me?
What Does This Mean for Me? The Capital Consulting team published a white paper at the start of 2018 which outlines the evolution of the traditional Capital Introductions model in an era of ubiquitous information. Our conclusion is that firms need next generation intelligence – to comb through all t
Slide 11: Disclaimer
Disclaimer Disclaimer IMPORTANT DISCLAIMER THIS MESSAGE CONTAINS INSUFFICIENT INFORMATION TO MAKE AN INVESTMENT DECISION. Please contact your Jefferies representative for copies of the most recent research reports on individual companies. This is not a product of Jefferies' Research Department, and
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