Energy players expect further market fragmentation
The energy sector is likely to see traders continue to leave larger operations to form smaller commodities-focused hedge funds, according to market players, as regulators continue to roll out the Dodd-Frank Wall Street Reform and Consumer Protection Act.
Sunil Dalal, chief risk officer at Lochridge Investment Advisors, a Houston-based energy-focused hedge fund, says: “I wouldn’t be surprised to see people break away from larger hedge funds to form smaller funds over the next year.”
He says this
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