•  
• Tweet
•  
•  
•         Track Keywords
•  
• 

In the week ending 27 July 2018, investors withdrew an estimated $7.88 billion from global hedge funds in June 2018, bringing overall Q2 2018 net flows for the industry to -$5.43 billion, the industry's second quarterly net redemption since Q4 2016. Total estimated hedge fund assets are now $3.308 trillion. Still, rising volatility is motivating asset owners to take a close look at investment strategies that mitigate risk. Volatility managers running long- and short-volatility strategies and tail-risk specialists report a sharp rise in inquiries and investment, particularly from institutions. Meanwhile, the U.S. insurance industry is said to reduce its risk appetite for hedge fund investments, as holdings declined by 8.5% to $16.4bn from $17.9bn in 2016.

Hong Kong's asset and wealth management business reached $3,108 billion in 2017, the SFC said. Institutional assets available to asset management firms in Asia topped $3 trillion for the first time this year as central banks, large pension funds and other institutional investors continued diversifying their portfolios and outsourcing assets.

Meanwhile, investor interest in the mutual fund version of hedge funds has fallen rapidly since 2013; the SS&C GlobeOp Forward Redemption Indicator for hedge funds at 2.40 % in July; and Goldman Sachs, GSO Capital Partners and KKR are rushing into a new asset class - direct lending.

New York City Retirement S......................

To view our full article Click here