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Alternative Market Briefing Weekly

Opalesque Roundup: China-focused hedge funds propel emerging markets assets to record: hedge fund news, week 20

Saturday, June 01, 2019

In the week ending May 31st 2019, the HFR Asian Hedge Fund Industry Report found that Chinese hedge funds have posted record gains into mid-2019, dominating the risk-on sentiment-fueled surge of Emerging Markets performance that has led the industry through mid-year. Emerging Markets hedge fund performance across all regions has been strong, with powerful leadership from Chinese funds, it said. The HFRI China Index vaulted +16.1% YTD through April, leading all hedge fund strategy and regional indices globally, as powerful investor risk-on sentiment overwhelmed the volatility associated with fluid and ongoing trade tariff negotiations.

Meanwhile, hedge funds were found to be managing well the tech sector's troubled waters, Lyxor said in its weekly brief. However, marking the fourth consecutive quarter of outflows, $22.1bn left the hedge fund industry in Q1 2019. Despite this net capital withdrawal, industry assets under management (AuM) grew by 3.3% to reach $3.56tn.

According to eVestment Q1 2019 Traditional Assets Flows Report, net institutional flows totaled -$22.8 n in Q1 2019 and -$499.0bn over the past four quarters, also bringing U.S. hedge fund assets down for the first time since the financial crisis of 2008, according to the latest Absolute Return Billion Dollar Club ranking. But, acquisitions of businesses and portfolios boosted the assets of some alternative money managers in 2018, with infrastructure displaying the most growth.

In new launches, Adams Street Partners, a privat......................

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