Bring on the hedge funds

More hedge fund activities can be developed out of Scotland, say recruiters and Scottish Financial Enterprise.

Search firm Odgers Ray & Berndtson is currently seeking an Edinburgh-based hedge fund operations for a global fund manager. But given Scotland's pre-eminence in the money management industry, where are the roles for front office hedge fund traders and analysts?

London is the acknowledged hedge fund centre of action and Scots operations by-and-large are confined to back-office. Richard Fletcher, of Fletcher Jones executive search and selection, says the country could do more to attract lucrative hedge fund businesses to settle here.

Fletcher points to Martin Currie, the Edinburgh-based self-styled "big boutique" with over 12 billion funds under management, that already has a Scots-based hedge fund operation totalling over 645m in assets.

"It's proved itself and is doing well," he tells us. But Fletcher warns hedge funds are not for the faint hearted: "the area is notoriously people visible. You're paid well but only if you perform well."

Amanda Harvie, chief executive at Scottish Financial Enterprise, says other funds could emulate Martin Currie and combine hedge funds with their existing business : "Integrating hedge funds into a traditional fund management business is an exemplar and shows what can be done."

As Scotland adapts to new market demands, John Carmichael, head of Scottish Enterprise's financial services team, says access to a growing pool of investment talent is encouraging an integration of hedge fund activity.

"It's influencing leading City professionals to look here as a real option as a place to live and work."

Jobs may yet follow.