Thu, Dec 18, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

New American hedge funds attract $17.4bn in 2010, up 17% from inflows to new funds in 2009

Tuesday, February 01, 2011
Opalesque Industry Update - The environment for hedge fund launches improved markedly in 2010 after a dismal 2009. At least 59 new funds with more than $50 million in assets under management were launched last year, garnering $17.4 billion, according to the latest survey of hedge fund start-ups in AR magazine.

That’s a 17% gain over 2009, when the 53 funds that began trading garnered $14.89 billion, an all-time low for the survey in terms of both assets and fund launches, according to the AR New Funds Survey, published in the February issue of AR. The complete ranking and commentary can be viewed here.

The biggest launches came from established players or groups that already had assets under management.

Bridgewater Associates formed the largest new vehicle with Bridgewater Pure Alpha Major Markets Trading fund, which incorporates the most liquid portions of its high-performing flagship, Bridgewater Pure Alpha. The new trading vehicle was not marketed to new investors but instead was created for clients with gains from the flagship fund that could not be reinvested in that fund.

The other two funds launched last year that now manage more than $1 billion came from proprietary desks at investment banks. Overland Advisors, the spin-off of a proprietary trading group at Wells Fargo, raised $2.2 billion in assets. The multistrategy relative-value firm is headed by Derek Dunn and Gordy Holterman.

Andrew Hall, the former Citigroup star energy trader whose proposed $100 million bonus last year came under public scrutiny, attracted $1.5 billion for his Astenbeck Commodities Fund II.

Michelle Celarier, editor of AR, said, “New fund launches increased at a healthy rate last year, though 2010’s total is well shy of the $23.17 billion reached in 2008 and less than half of the record $40 billion amassed in 2004. Our survey indicates that investors remain skittish about backing brand-new managers, and raising money is still far more challenging that it was before 2008.”

Source

kb

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
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. Investing - Big hedge funds win again on PetSmart, Riverbed, RBS sells real estate loans to hedge fund Cerberus, Talisman energy speculation: Which hedge funds could benefit?[more]

    Big hedge funds win again on PetSmart, Riverbed From CNBC.com: Another week, another set of wins for activist investors. On Sunday, pet supply retailer PetSmart agreed to the largest leveraged buyout of the year at $8.7 billion. Hedge fund firm JANA Partners had been pushing for a sale a

  2. Outlook - Hedge fund manager who remembers 1998 rout says prepare for pain, Bond guru Bill Gross predicts U.S. economic growth to dip to 2%[more]

    Hedge fund manager who remembers 1998 rout says prepare for pain From Bloomberg.com: Stephen Jen landed in Hong Kong in early January 1997 as Morgan Stanley’s newly minted exchange-rate strategist for Asia. He was soon working around the clock when investors began targeting the region’s

  3. Opalesque Exclusive: U.S. legal receivables fund launched in August[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Investing in asset-backed receivables is a strategy that has been an integral part of the alternative investment space within the overall fixed income asset c

  4. Comment - High fees and low performance hit hedge funds[more]

    From FT.com: Disenchantment over high fees and lackluster performance may finally be turning the tide against hedge funds, fresh data suggest. Despite generally weak returns since the global financial crisis, hedge funds have enjoyed positive net inflows every year since 2010. This helped assets und

  5. Performance - Lansdowne, Man Group, other hedge funds profit from shorts in oil, Turmoil boosts hedge funds that bet against Russia, oil, CTAs post strongest returns since December 2010[more]

    Lansdowne, Man Group, other hedge funds profit from shorts in oil From Valuewalk.com: The rising short interest in oil companies implies that the worst for oil is yet to come. Data from Markit shows that short exposure in energy sector of S&P 500 is still looming close to the highest mar