•  
• Tweet
•  
•  
•         Track Keywords
•  
• 

In the week ending October 2nd 2020, the HFR Market Microstructure Report revealed that new hedge fund launches rose from a near-record low in 1Q20, as investor risk tolerance began to recover from the global coronavirus pandemic volatility. New hedge fund launches totaled an estimated 129 in 2Q20, the highest quarterly total since 153 funds launched in 2Q19. Despite the increase in launches in 2Q, the total number of estimated launches in the trailing four quarters remains historically low as a result of the 1Q20 volatility, with 404 funds launching over the past year.

Meanwhile, hedge fund managers ended August 2020 up 2.02% on an equal-weighted basis, and 1.43% on an asset-weighted basis, driven by the strong performance of the global equity market as seen from the 5.54% return of MSCI ACWI (Local) over the same period. On a year to date basis, global hedge funds were up 4.07% over the first eight months of 2020. The Eurekahedge Hedge Fund Index was up 1.85% in August, bringing its year-to-date return to 3.79% and its five-month trailing return to 12.85% since end-March.

In new launches, Swedish private equity firm Nordic Capital has hit a hard cap of EUR 6.1 billion (about $7.2 billion) on its latest flagship fund - Nordic Capital Fund X - after less than six months on the road and no face-to-face meetings; Global alternative asset management firm H.I.G. Capital has closed buyout fund H.I.G. Capital Partners VI at $1.3 billion, and U.S. private equity firm Advent International ......................

To view our full article Click here