Mon, Nov 30, 2015
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Despite negative inflows in December, hedge funds see 10.1% increase in assets for 2013

Monday, January 20, 2014

Bailey McCann, Opalesque New York:

Assets going into hedge funds over the month of December were in negative territory, following positive flows during November. Despite that, investors increased their allocations by 10.1% overall in 2013, according to new data from eVestment. Investors redeemed an estimated $4.4bn during the month of December. Total hedge fund industry assets increased 10.1% for 2013, or $262.0bn, pushing them to $2.86tn overall. This puts industry AUM just below its all-time peak of $2.94tn set in June 2008. Performance accounted for approximately $190.1bn.

In terms of strategies, Equity hedge fund flows surpassed credit in Q4 for the first time since Q3 2011 and for only the second time since Q1 2010. Virtually all of equity funds net flows for the year came in the second half when the universe took in $32.3bn beginning just two months after UST 10-year rates bottomed in May.

Credit continued its bull run story with inflows of an estimated $79.6bn, including $3.7bn in December. Macro and managed futures fund redemptions were the primary reason hedge fund flows were negative in December and suffered their largest monthly redemptions since December 2008. Despite this, report data shows that Macro strategies produced asset weighted returns of 3.7% in 2013, well above their equal weighted average of 3.0%, but returns still lagged the industry overall.

Activist strategies led event driven/distressed flows and performance in 2013. Event driven a......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Other Voices: Hedge fund marketing and the selling cycle[more]

    By Bruce Frumerman. How long is the selling cycle now? That’s a question my financial communications and sales marketing consulting firm has been asked on a regular basis by hedge fund firm owners and sales people, ever since we opened the doors to our firm in 1987 pre-crash. Wa

  2. People - Solus Alternative Asset Management adds chief strategist from BTIG[more]

    From Daniel Greenhaus joined hedge fund manager Solus Alternative Asset Management as managing director and chief strategist. He will work closely with Chris Bondy, Solus’ chief economist, managing director and executive vice president, said Chris Pucillo, CEO and chief investmen

  3. Opalesque Roundtable: Seeding deal terms can be onerous for hedge funds[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Executives from fund of funds firms, family offices, a placement agent, a private equity firm, and an accounting firm gathered in Connecticut last month for the

  4. Opalesque Roundtable: Family offices flock to co-investment[more]

    Bailey McCann, Opalesque New York: Co-investments have been a hot topic for pension funds in recent years, as they try to move away from high fees and improve transparency. But now, family offices are more readily getting into the mix and establishing in-house deal teams, according to the delega

  5. More institutional investors invest in CTAs compared to last year despite dissatisfaction with performance[more]

    Benedicte Gravrand, Opalesque Geneva: "Despite a strong start to 2015 for CTAs in Q1, commodity market conditions have made return generation difficult for fund managers over much of the rest of the year to date," says Preqin’s November