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By Donald A. Steinbrugge, founder and CEO of Agecroft Partners, LLC, a global consulting and marketing firm.
Each year, Agecroft Partners predicts the top hedge fund industry trends through their contact with more than two thousand institutional investors and hundreds of hedge fund organizations. Given the hedge fund industry's dynamic and constantly changing nature, it is crucial for firms to anticipate likely changes. Those that are able to adapt effectively to industry shifts will succeed, while stagnant firms will be left behind.
Below are Agecroft's 15th annual predictions for the most significant trends in the hedge fund industry for 2024:
1. The hedge fund industry reaches maturity. The hedge fund industry has witnessed remarkable growth this century, surging from $265 billion in 2000 to surpassing $5 trillion, according to Statista. While a significant majority of hedge fund investors demonstrate steadfast long-term commitment to this asset class, many major investment entities-such as pension funds, endowment funds, foundations, sovereign wealth funds, OCIOs, private banks, and advisory firms-seem to have reached a saturation point in fully allocating a percent of assets to hedge funds. Consequently, the industry's future growth will likely slow, with the primary expected growth stemming from performance at a 6% to 8% annual rate.
2. 2024 will be a strong fundraising environment for top managers and strategies ...................... To view our full article Click here
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