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By Benedicte Gravrand, Opalesque London: A roundup of last week’s hedge fund launches, closures, index performance, trends, regulatory, legal and financial events pertaining the alternative investments world.

We heard of new launches from Marc Lasry, Saguenay Capital, Tosca, Jermyn Capital, A to B, Volathon, Investcorp, Duet A. M., Chirin Capital, SGAM AI, Tacticus Capital, Cabal, Carmague, Synergy, Seven Trust, Gruss A.M. and ZCM Capital.

Lahde Capital closed two funds, Powe Capital's Modulus Europe had to be liquidated and French hedge fund ADI was forced to close five of its funds due to Lehman losses.

On the M&A scene, Banque Privee Edmond de Rothschild and Standard Chartered collaborated in alternative investments, Singapore’s Fullerton and China’s Bosera formed an investment partnership and Australian asset manager Select took ownership of an advisory business in New Zealand.

The press reported that the prime brokerage model was questionable, following Lehman’s collapse and Morgan Stanley’s heavy loss of assets; the industry would change as managers were rethinking their exposure and banks were thinking twice about lending against complex securities.

Hedge funds were still struggling with the crisis last week; they adjusted their trading models following the US government's ban on short selling hundreds of financial stocks; they raised cash in the rally, waiting for the bail out; they were seen as scapegoats as long-only managers panicked; Eurekahedge reported that few of them were actually earning performance fees; they continued to be hit by arbitrage disruption, by new regulations, deleveraging and redemptions problems.

Those new regulations, however, forced them to revamp strategies and some concentrated on OTC derivatives; Citigroup reported that hedge funds had moved $600bln into cash and $100bln in simple money market funds. Indeed,......................

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