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In the week ending July 24th 2020, a report by BarclayHedge revealed that hedge fund redemptions continued to decline from their COVID-19 pandemic-fueled peak of $85.6 billion in March. Net redemptions in May were $8.0 billion, 0.3% of industry assets.

Meanwhile, eVestment June 2020 Hedge Fund Asset Flows Report said that investor redemptions continued in the hedge fund industry in June, with investors pulling $16.87 billion from the industry last month. Year-to-date (YTD) investor redemptions sit at $55.44 billion. If this trend continues or accelerates, full year 2020 redemptions could surpass the $102.25 billion investors pulled from the industry in 2019.

At the same time, a survey of 50 asset allocators by Bloomberg Mandates found that half of them have or are planning to boost hedge fund allocations, turning to this long-disparaged asset class for safe haven. In fact, roughly 40% of the industry is producing positive results in 2020, with the average gain +9.12% while the average decline is -10.85%, said eVestment.

Another eVestment report said that varied returns among largest managers highlight hedge fund performance. Hedge funds gained an average of +2.07% in June bringing YTD average returns to -3.37%.

Total hedge fund assets surged in 2Q20 as the HFRI Fund Weighted Composite Index (FWC) posted the strongest quarterly performance gain since 2Q09, while outflows ......................

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