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New York Hedge Fund Roundtable survey: fall in oil prices presents opportunities

Friday, January 30, 2015
Opalesque Industry Update - Members of The New York Hedge Fund Roundtable, a non-profit industry organization committed to promoting ethics and best practices in the alternative investment industry, believe falling oil prices will present opportunities for hedge funds and expect 2015 will be a positive year for the industry.

Questions about oil, fracking, energy and the state of the hedge fund industry were posed to members at the Roundtable’s January event, “American energy resurgence and its implications for the global economy, geopolitics, the environment and the hedge fund industry.”

Members were nearly unanimous as 96% said that the decline in oil prices will create more opportunities for hedge funds.

The group also largely agreed that energy independence is more important than lower oil prices to the economy’s long-term growth. A little more than 80% supported energy independence over lower oil prices.

However, Roundtable members were divided when it came to the impact of oil prices on alternative energy and fracking. Of those surveyed, 47% believed that the drop in oil prices would lead to a decline in alternative energy and fracking in the U.S., while 49% thought the drop would not affect those efforts.

The group was particularly upbeat when it came to its outlook for the industry. When asked if 2015 would be a positive or negative year for hedge funds, 87% responded that they thought it would be a good year for the industry.

Volatility was the word used most often when asked what would be the biggest challenge for the industry. Fees, regulation and the economy were other common responses.

Press Release

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