Preqin: Fund of hedge fund assets decline in 2015

Fund of hedge funds were unable to sustain the growth witnessed in 2014 over the course of 2015, reported data provider Preqin. The industry's assets under management (AuM) declined by $12bn over the year, wiping out over a third of the $33bn added in 2014. As at 31 December 2015, the fund of hedge funds sector managed $807bn in capital. The sector experienced a wide range of activity over the year, from closures to mergers, acquisitions and spin-outs, as fund of hedge funds managers continued to search for solutions that meet the evolving needs and performance demands of institutional investors.

Separately, a survey by Peltz International said the evolution of funds of funds reflects the changing roles of traditional fund of funds in the investment landscape. The annual survey also found that there were fewer funds of funds. However, they have more assets under management - on averagearound $8bn.The respondents said at least $4.4bn is needed to "survive and thrive."

Lois Peltz, who authored the report stated, "Interestingly, 60% of those surveyed refer themselves as funds of funds while 15% now use the term 'customized solution provider.' Another 10% refer to themselves as 'asset managers' and 5% use the term 'outsourced chief investment officer.' These labels reflect the ongoing evolution and changing roles played by the traditional fund of funds."

Full article by Komfie Manalo here. Hedge fund demand for London offices lowest since 2012

Hedge funds and private equity firms took the least amount of office space in central London since the start of 2012 in the first quarter, according to broker Cushman & Wakefield Inc. The slump follows four years of gro......................

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This article was published in Opalesque's New Managers a top-down monthly analysis, news and research publication on the global emerging manager space.