From RiskCenter.com: High oil prices are affecting other commodities. It's sensible to think that oil, natural gas and coal are different commodities and are unrelated to one another. But energy experts say that the base price for all fuel sources is tied to oil. That's because it is the most fungible, pervasive and transportable commodity. In essence, the demand for energy is so strong that all producers including those in competing sectors will charge whatever the market will bear. It is simple economics: If oil prices are at record highs, why wouldn't natural gas and coal producers charge more for their product, assuming the demand remains high? “The world revolves around energy and oil is now at the center of it,”...Full article: {literal}Source{/literal}

From the Economist Intelligence Unit/ RiskCenter.com: The World Bank has seen its mission change repeatedly in the six decades of its existence, from dynamo of European reconstruction to promoter of higher living standards in developing countries. Each transformation has thrown up a new collection of winners and losers among potential borrowers. The next revolution may now be in view following US President George W Bush's nomination of his hawkish deputy defence secretary, Paul Wolfowitz, as the Bank's next president. In summary, a Wolfowitz-led World Bank could be expected to accelerate the move away from commercial lending to middle-income developing countries and towards grants for poor countries meeting American norms of freedom and transparency. A brief regional overview of the implications for the major recipient countries follows. {literal}Source{/literal}

Am I nuts, or are today's patent litigation issues totally out of control? Since when does our industry allow technology vendors to take out method patents that curtail innovation and hold both firms and the global financial markets hostage? {literal}Source{/literal}

From the Globe and Mail: Officials at troubled hedge fund company Portus Alternative Asset Management Inc. deleted thousands of financial records and reformatted several computers in an attempt to prevent anyone from analyzing the firm's operations, according to allegations in a court filing by the court-appointed receiver.

An analysis of one computer used by Portus co-founder Boaz Manor "indicates that approximately 3,390 spreadsheet files were deleted from the laptop," chartered accountants KPMG LLP alleged in the filing. "Preliminary attempts to recover the deleted data have not been successful."

In a separate affidavit also filed in court, Robert Castonguay, director of forensic technology at KPMG, alleged that six of 14 hard drives in other computers had been reformatted to make them unusable and "most spreadsheet and database files pertaining to Portus's business operations had been deleted..... Meanwhile MAR/Hedge writes the Ontario Securities Commission on Friday obtained a court order extending the appointment of KPMG Inc as the receiver of all the property, undertaking and assets of Portus Alternative Asset Management Inc, Portus Asset Management Inc (PAM), which was the fund's administrator, and BancNote Corp. Full Globe and Mail article: {literal}Source{/literal}

According to the LawAndTax-News.com, one of the four National Australia Bank traders implicated in one of the country's largest corporate scandals has entered a guilty plea in relation to unauthorised trading charges.

The Melbourne court heard that Luke Edward Duffy, former head of NAB's foreign exchange desk, made around $145 million in false entries on the bank's trading system between October 2003 and January 2004, resulting in large bonuses for himself and his three co-defendants. Mr Duffy faces a $220,000 fine, or five year custodial sentence for his role in the fraud. {literal}Source{/literal}

One year with the new German hedge fund regulation, paper Handelsblatt says German investors put EUR 1.5bln in hedge funds and EUR 15bln in hedge fund related certificates. Until 2007 hedge fund investments are expected to climb to EUR 29bln, according to Mercer Oliver Wyman.

Rating agency RCP & Partners says among 60 investors with assets of EUR 130bln, about two thirds would be waiting to invest in hedge funds. Half of those say they plan to invest within the next two years. In German: {literal}Source{/literal}

GAIM Advisors has launched the GAIM Long/Short Strategy Series II Principal Protected Note, issued by IXIS Corporate & Investment Bank and linked to the GAIM Long/Short Equity Fund.

At maturity the note will return the higher of the initial investment or 100% of the performance of the underlying investment. The note will also pay a coupon of 3 per cent at the end of year 1 and of 3.5 per cent at the end of year 2. The GAIM Long/Short Fund is a fund of hedge funds which uses a disciplined and highly transparent investment process. It aims to provide a broad exposure to the Equity Long/Short Strategy through investment in approximately 40 of the largest hedge funds within this strategy. {literal}Source{/literal}

Deutsche Boerse announced today that it will commence an ongoing program to optimize Deutsche Boerse Group’s capital structure. This program reflects the conviction of the Executive and Supervisory Boards to distribute to shareholders funds that are not required for the Group’s operations. {literal}Source{/literal}

From Smh.com.au: The world's second-largest pure investment bank has a New York and London director in Melbourne reviewing its fund management operations and working on a strategy for the institutional and superannuation sector. But the legendary reputation of the House of Morgan will not be enough to guarantee success in a market where big overseas names have struggled to beat the performance of local competition or find a way to distribute their products.

Australia, which accounts for just over 2 per cent of the world's global market capitalisation, has the world's fourth-largest fund management industry - behind the US, France and Luxembourg - and the largest in Asia. The Australian workforce pays 9 per cent of the national wage packet into a superannuation pool that has $650 billion in managed assets and last year grew by more than $60 billion. Full article: {literal}Source{/literal}

Citigroup, Putnam pay $60m+ in SEC fines over fund kick backs
Citigroup Inc. and Putnam Investments will pay civil fines of $20 million and $40 million respectively to resolve federal regulators' allegations that they kept from customers the fact that brokers were paid to recommend certain mutual funds, creating a conflict of interest. Another article mentions American Express Inc. and J.P. Morgan Chase & Co. where involved and fined as well in the practice of steering customers to mutual funds that were not the most cost-effective.

Pax World dumps $23.4M of Starbucks shares over Whiskey deal
Pax World Management Corp. said it sold its entire fund position of 375,000 shares of Starbucks Coffee Co. as a result of the giant coffee chain's decision to enter into a development and distribution deal with whiskey maker James B. Beam Distilling Co. The shares are worth an estimated $23.4 million. (Morningstar.com)

Dresdner Kleinwort loses race case appeal
Investment bank Dresdner Kleinwort Wasserstein has lost an appeal in a racial discrimination case brought by a former derivatives trader, the trader's lawyer says. Abi Adebayo, dismissed by DrKW in 2003 for gross misconduct, brought a case against the bank for racial discrimination and unfair dismissal. A UK employment tribunal had found in his favour in May 2004. Adebayo, who is currently involved in setting up a hedge fund, said he was pleased at the outcome. (Reuters.com)

Marathon Asset structures a dynamic hedge fund like strategy within CDO Structure
Marathon Asset Management is structuring an innovative collateralized debt obligation that can change its investments at any time in almost any asset class, enabling a hedge-fund like strategy within a CDO structure. (InstitutionalInvestor.com)

UK FSA targets advertisement compliance failures
The UK Financial Services Authority is scrutinizing four key areas where it has found substandard advertising compliance at firms and banks. The common problems are lack of written procedures, poor monitoring, no senior management oversight and incomplete record keeping, said Nausicaa Delfas, head of financial promotions at the FSA. (InstitutionalInvestor.com)

Allianz hedge fund unit now with $1.4b in four Luxemburg funds
Allianz AG’s unit Allianz Hedge Fund Partners does not expect the hedge fund boom of 2004 to continue this year, Handelsblatt newspaper said, citing Johan Ahlstroem, head of the unit. In 2004, 800 mln usd worth of investments in four Luxembourg umbrella funds boosted the hedge fund unit's total managed assets to 1.4 bln usd. While Ahlstroem said he is 'optimistic' the German hedge funds market will continue to grow this year, he does not expect to repeat last year's strong growth. (Yahoo.com)

Russia Hermitage Capital net asset value up 23% in 2004
Moscow-based hedge fund Hermitage Capital Management, currently running assets of $1.33 billion, increased its net asset value by 23 percent in 2004, chief executive William Browder said on Wednesday. By comparison, the fund's benchmark RTS stock index went up by just eight percent in 2004. Browder said the fund had posted returns of 1,055 percent since its inception in April 1996. The fund's assets include some $350 million in managed accounts. (Reuters) No online Source

Alternative Asset Center (AAC) is offering Opalesque subscribers the following three cumulative benefits with an annual subscription to AAC’s Fund of Hedge Fund’s DataFeeder service:

1. A free hard-copy Directory of Fund of Hedge Funds (valued at USD 750)
2. Six free months of data subscription – i.e. order the yearly subscription now (before Mar, 31) and receive 18 months access
3. Enjoy a 10% discount on the DataFeeder service Apart from the DataFeeder service, AAC offers a 10% discount for the hard-copy Directory as well. All offers expire Mar 31st.

To view more information, including sample data click here.

The largest and most comprehensive of its kind. 750 unique global FoHF’s. Complete manager contacts, monthly fund performance, AUM, fees, underlying Hedge Funds, investment objective, portfolio allocations and much more...

This elegantly bound 810 page hardcopy Directory is now available for immediate dispatch. Do not miss your chance to have this essential research solution at your finger tips!

USD 750 + shipping (less 10% for Opalesque subscribers). Contact Alternative Asset Center to claim your special offers on directories and datafeed:

Alternative Asset Center
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2nd Annual Hedge Funds World - Global Opportunities 2005
4-6 April 2005 - The Four Seasons Hotel, New York
"The Global hedge fund markets come to America"

With hedge fund managers from more than 25 different countries across Europe, Asia, The Middle East, Africa and the Americas. Save time and money by attending the 1 event that covers opportunities across the globe. Find out when you hear from global leaders such as:

Europe:
Ullrich Angersbach, Chief Executive Oficer, Sigla Zürichfinanz AG, Switzerland
David Murrin, Chief Investment Officer, Emergent Asset Management, UK
Sy Schlueter, Managing Partner, CAI Analyse - und Beratungsgesellschaft mbH, Germany
Jean-Pierre Aguilar, Chief Executive Officer, Capital Fund Management, France
Mattias Westman, Chief Investment Officer, Prosperity Capital Management, Russia
Marco Menaguale, Directtore Generale, Gottardo Asset Management, Italy

Scandinavia:
Kaj Ronnlund, Chairman, er Capital Management, Finland
Peter C. Warren, Chief Investment Oficer, WarrenWicklund Asset Management, Norway
Peter Elam Håkansson, Chairman, East Capital Asset Management, Sweden
Leif Hasager, Executive Vice President, Bankpension, Denmark

Middle East and Africa:
Arif Naqvi, Chief Executive and Vice Chairman, Abraaj Capital, Dubai
David Gibson-Moore, Managing Director, Robeco Alternative Investments, Bahrain
Albert Hammond, Chief Executive Officer, Antares Fund Management, South Africa

The Americas:
Ricardo de Campos, Chief Investment Oficer, Hedging Griffo Asset Management, Brazil
Pablo Taussig, MBA, Managing Director, Patagonia Argentine Recovery Fund, Argentina
Jim McGovern, Chief Executive Oficer, Arrow Hedge Partners, Canada

View the complete conference programme now! www.hedgefundsworld.com/2005/hfw_us

To register and claim your rebate, email rani.kuppusamy@terrapinn.com or call +65 63222 721

Alternative Industry Discussion, Professional Networking and Capital Introductions
Metropolitan Club, New York (1 East 60th Street at 5th Avenue)
Tuesday, April 5th 6PM to 10PM - in coordination with Hedge Funds Hedge Funds World conference

This special evening will include over 400 hedge fund industry guests who will enjoy topical speeches by well known alternative industry professionals followed by a cocktail reception. The event has been planned in coordination with Hedge Funds World at The Pierre, A Four Seasons Hotel, New York from April 4th to the 6th.

Panel Topic “Hedge Fund Allocation Priorities – Strategy vs. Returns”:

• George H. Walker – Head of Alternative Investments, Goldman Sachs & Co.
• Dana Hall, CFA – Lighthouse Partners, LLC
• Roger Fenningdorf, CFA – Partner, Rocaton Investment Advisors, LLC
• Louis Gerken – Chairman, Gerken Capital Associates

Register for Evening Reception at www.globalcapitalacquisition.com
Contact Lisa Harvey for Capital Introduction details on +1 646 270 7819 or Lisa.harvey@globalcapitalacquisition.com

Alternative Investing Summit East
Ritz Carlton, Amelia Island, FL
April 6-8, 2005

Opal Financial Group is your quintessential global conference producer. We are the best at providing the right people, the right topics and the right interactive environment. Explore numerous alternative investment opportunities and strategies most significant in today's highly competitive and dynamic environment. We Look Forward to your Participation.

Email: info@opalgroup.net
Phone: (212) 532-9898 x230
http://www.opalgroup.net

Hedge Funds World Risk Management 2005
12 - 13 April 2005 The Pierre Four Seasons, New York, USA

Hedge Funds World Risk Management 2005 is the definitive event for those involved in risk management within the hedge fund arena, showcasing an unrivalled panel of speakers from the world's top fund managers, investors and service providers.

Participants will have the chance to learn about the very latest risk management strategies and techniques employed by leading institutions, whilst networking and doing business with key industry decision makers. Key conference themes include:

• The hedge fund risk universe
• New investment opportunities
• Fundamental risk management techniques for hedge funds
• Portfolio construction and optimization Transparency and disclosure
• Balancing risk versus return
• Outsourcing the risk management function
• Risk modelling techniques
• Investor confidence

DON’T MISS OUT! To receive your 10% rebate as an Opalesque subscriber contact Rebecca Sloan on: +44 (0) 20 7827 4176 or rebecca.sloan@terrapinn.com
www.hedgefundsworld.com/2005/risk

Alternative Investment Summit 2005
The Leading Event for European Investors in Hedge Funds & Private Equity
18-19 April 2005, London - Dorchester Hotel

The Alternative Investment Summit is designed to demystify the Private Equity and Hedge Fund industries and to tackle the key issues that investors face when considering investment in these areas. The conference agenda is aimed primarily at institutional investors and attracted around 400 delegates in 2004, making it the leading event for European Investors in Hedge Funds & Private Equity.

On Day One we have added an optional breakout stream, “The Alternative Investment Roundtable” and on Day Two we have responded to demand by adding a second day of Hedge Fund content, including an “Alternative Investment Showcase”, where delegates will come face-to-face with some of the world’s top Hedge Fund managers.

Speakers this year include the highly respected economist Gavyn Davies (Prisma / ex Goldman Sachs/BBC), top investment consultant Roger Urwin (Watson Wyatt), star hedge fund managers Sushil Wadhwani (ex-Tudor, ex BoE MPC) and Michael Sofaer (Sofaer Capital), and renowned private equity specialist Jon Moulton (Alchemy Partners).

Around 400 Delegates in 2004: The Alternative Investment Summit is designed to provide a rare combination of education and networking. Last year’s total of 400 delegates included a record number of pension funds, emphasising the radical change in investor attitudes that is taking place. We expect another record attendance in 2005, so early booking is advised. A selections of topics:

• GLOBAL INVESTMENT OUTLOOK - GAVYN DAVIES
• ATTAINING EXCELLENCE IN HEDGE FUND MANAGER SELECTION & MONITORING
• GLOBAL MACRO - Dr SUSHIL WADHWANI
• GLOBAL CREDIT MARKETS OUTLOOK - JEAN-LOUIS LELOGEAI
• FUNDS OF HEDGE FUNDS: WHERE FROM HERE? - ALASTAIR ALTHAM
• BOOSTING ALPHA THROUGH STYLE SELECTION - MICHAEL HOWELL
• INVESTING IN EARLY STAGE HEDGE FUNDS - MARCEL HERBST
• HEDGE FUNDS: MORE THAN ABSOLUTE RETURN - JOHN WILKINSON
• HEDGE FUND RISK: UNDERSTANDING "FAT TAILS" - Dr TERENCE MOLL

Full programme: www.irc-conferences.com/31

REGISTER NOW and receive a 10% discount off the two day price by calling Ellie Nalon-Santana on +44 (0) 870 777 4144 or e-mail: Ellie@irc-conferences.com. Please state -Opalesque- in your correspondence.

COMMODITIES INVESTING: How to design optimal strategies and products
New York, Ritz Carlton Hotel
20 April 2005

Keynote speaker : JIM ROGERS
And more exceptional speakers: Jake Bernstein, Prof. Robert Mabro, Matthew Simmons, John C. Hathaway

Gold sponsor : FIMAT
Lead sponsor : Diapason Commodities Management
Cocktail sponsor : Nymex

Detailed programme here. Registration:
By post : Academy & Finance International Conference c/o ESU, P.O. Box 32862, Baltimore, Maryland 21282, USA
By phone: 800 937 8728 (US only); (001) 410 559 2236 ;
By fax : (001) 410 559 2217
By e-mail: AFSAinfo@yesevents.com On-line registration: www.yesevents.com/afsa

ASIAN HEDGE FUNDS 2005
The meeting point of Hedge Fund Managers who invest in Asia: first conference focused on Asian Hedge Funds ever organised in Europe
26 April 2005
Geneva, Hôtel Beau-Rivage

Conference endorsed by AIMA (AIMA members 20% rebate)

Keynote speakers: Christophe Lee, Chief Executive Officer, SHK Fund Management Ltd., Hong Kong, Chairman of AIMA Hong Kong Chapter
Peter Douglas, Principal, GFIA, Singapore, Chairman of AIMA Singapore Chapter.

Detailed programme here.

Fee: 990 CHF (minus 10% for Opalesque subscribers)
Information and Registration:
By phone : + 41 22 849 01 11
By fax: + 41 22 849 01 10
By email : info@academyfinance.ch By mail : Academy & Finance, 16 rue Maunoir, PO Box 6069, CH-1211 Geneva 6

Hedge Funds World Scandinavia 2005
26 - 28 April 2005 Grand Hotel, Stockholm, Sweden

• Determine NEW opportunities in the Nordic Markets – hear from all the regulators (FSAs) and tax experts who are opening up these hedge fund markets
• Network and gain critical market intelligence from over 40 key Nordic hedge fund experts
• Hear from and meet with leading end-user institutional investors and pension funds

The Nordic market as it stands is buoyant and growing. The high demand for alternatives is reflective of a large pool of institutional money that is now flowing via a series of allocations into hedge funds. For the last three years, business opportunities have grown steadily and Nordic investors have taken a more confident approach to hedge funds.

Their specific adherence to risk management principles and due diligence shows that under the right conditions, hedge funds will soon be a recurring feature of many Nordic institutional portfolios.

Hedge Funds World Scandinavia 2005 will feature an unprecedented speaker line-up of regulators (FSAs), tax experts, Nordic investors, pension funds, hedge fund providers, managers and single fund managers. Top-level speakers include:

• Henrik Adamsson, Economist, Senior Administrative Officer, Ministry of Finance (Stockholm)
• Richard Gröttheim, Executive Vice President, Sjunde AP-Fonden, The 7th Swedish Pension Fund (Stockholm)
• Eystein Kleven, Leader of Unit, Norwegian Financial Supervisory Authority (Kredittilsynet) (Oslo)
• Petri Määttä, Market Supervisor, Finnish Financial Supervisory Authority (Rahoitustarkastus) (Helsinki)
• Professor Lionel Martellini, PhD, Professor of Finance, Edhec Business School and Scientific Director, Edhec Risk and Asset Management Research Centre (Nice)
• Joakim Schaaf, Head of Investment Funds & Securities Companies, Legal Department, Swedish Financial Supervisory Authority (Finansinspektionen) (Stockholm)
• Jarkko Syyrilä, Senior Officer, Committee of European Securities Regulators (CESR) (Paris)
• Jens Anthon Vestergaard, Financial Inspector, Danish Financial Supervisory Authority (Finanstilsynet) (Copenhagen)

DON’T MISS OUT! To receive your 10% rebate as an Opalesque subscriber contact Rebecca Sloan on: +44 (0) 20 7827 4176 or rebecca.sloan@terrapinn.com
Full programme: www.hedgefundsworld.com/2005/hfw_SE

Renaissance Chicago Hotel, Chicago, IL
May 18 - 20, 2005

Endless possibilities and immense opportunities is what we deliver through our events. As the pioneer in orchestrating the first ever Emerging Managers Summit, Opal Financial Group has once again exceeded industry standards by delivering another highly successful event.

The Emerging Managers Summit aims to provide Institutional Investors the opportunity to meet a select group of up-and-coming managers to learn their various styles and strategies.

Email: info@opalgroup.net
Phone: (212) 532-9898 x230
www.opalgroup.net

11th Annual Global Alternative Investment Management Forum
6-10 June 2005, Beaulieu, Lausanne, Switzerland

Meet Over 1500 of The Most Influential Global Asset Allocators, Newest Launches & Innovative Players In Commodities, Hedge Funds & Esoteric Strategies

GAIM 2005: Your Winning Shortcut!
Not only is GAIM 2005 the world’s premier and most comprehensive global alternative investment event – it is simply the largest annual meeting place for the most influential and successful industry players.

Over 250 Speakers!
Independently researched and produced, GAIM is as ever committed to delivering you not only the newest funds, the freshest ideas & most innovative strategies but insights from some of the most experienced and serially successful players in the business. Just some of these include:

• Mark Anson, CalPERS
• Stanley Fink, MAN Group
• J. Morgan Rutman, Harvest
• Paul Gorman, Mayo Foundation
• Stephan Zimmerman, New Smith Capital Partners
• Dr Robert Shiller, Yale University
• Gavyn Davies, Prisma Capital Partners
• Art Samberg, Pequot
• Don Philips, Morningstar
• Sean Simon, Ivy Asset Management
• Avinash Persaud, GAM
• Jamil Baz, Deutsche Bank and many many more....

You will find the full programme and registration details on: http://www.icbi-uk.com/r.asp?uID=287

Build your brand and create new business with the intelligent marketing options of the Opalesque Alternative Market Briefing - the industry's favorite hedge fund newsletter! Please email me: knab@opalesque.com for details. Communication that works!

ISSN Number: 1450-1953
Alternative Market Briefing has been called the best news service on hedge funds. Our mission is to intelligently select and timely provide the most important daily news for professionals dealing with hedge funds. Alternative Market Briefing offers both a quick overview and indepth coverage of all subjects through the "Source" link that leads you to the publicly available online news sources. The concept that we follow is that of a "clipping service" - the added value for you is that we screen, intelligently select and efficiently present each day the most important hedge fund news. The majority of the news sources used do not require a subscription, however some may ask you to register. Once registered, you can access these news sources freely. Please mail us your feedback and suggestions to feedback@opalesque.com - we love to hear from you!

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This newsletter is edited by Matthias Knab (MK) for Opalesque Ltd. For more information about me and Opalesque Ltd. please use this link.

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Disclaimer: The information contained in this newsletter does not constitute an offer or solicitation to sell any security or fund to or by anyone in any jurisdictions, nor should it be regarded as a contractual document. Under no circumstances should the information provided on this newsletter be considered as investment advice, or as a sufficient basis on which to make investment decisions. The information contained herein has been gathered by Opalesque Ltd. from sources deemed reliable as of the date of publication, but no warranty of accuracy or completeness is given. Opalesque Ltd. is not responsible for and provides no guarantee with respect to any of the information provided herein or through the use of any hypertext link. Past results are no indication of future performance. All information in this newsletter is for educational and informational purposes and does not constitute investment, legal, tax or accounting advice.