|
|
Opalesque Exclusive: Sophisticated investors' current position on hedge funds
Benedicte Gravrand, Opalesque London:
Following the billions of dollars in redemptions we have seen since last year due to drops in the equity markets, poor returns from hedge funds and others, and, least we forget, the Madoff affair and various other frauds, the hedge fund industry, which managed approximately $1.8tn at the beginning of last year, now manages between $1.2tn and $1.4tn, and is expected to end 2009 with only $1tn.
Even though a recent survey conducted by IRC Conferences / Terrapinn found that 80% of hedge fund investors continue to believe that hedge funds can provide good, long-term returns, they are still very wary.
While some, especially the high-net-worth-individuals, are turning away from the industry, and some have been hiring private eyes before investing. Pete Turecek, a managing director overseeing hedge funds at Kroll Inc., a risk-consulting company in New York, confirmed this and explained to Bloomberg.com last month: "as the economy continues to weaken, some people including money managers may be drawn to taking shortcuts."
But institutionals see the bigger picture: according to the AIMA, an absolute majority of all assets und...................... To view our full article Click here
|
|
RSS
