Global hedge fund AUM hits record high

Date: Wednesday, March 19, 2014
Author: Advisor.ca

Hedge funds posted their best performance in the last 12 months, up 1.79% with fund managers delivering performance-based gains of US$15 billion and recording net asset inflows of US$11 billion during the month, according to the latest Eurekahedge Report. This brings the current AUM of the global hedge fund industry to US$2.03 trillion — a new record high.

Read: Hedge funds recover from January losses

Additional findings include:

• Long/short equities hedge funds recorded their 15th consecutive month of positive net asset flows, with net capital allocations to the strategy for 2014 standing at US$19.0 billion.

• Trend following strategies posted their ninth consecutive month of net asset outflows in February, and saw redemptions worth US$12.7 billion over this period.

• Total assets in North American hedge funds reached a new high of US$1.36 trillion with assets growing by US$11.1 billion in the first two months of the year.

Read: Hedge fund assets increase 13%

• Japan investing hedge funds recorded their second consecutive month of negative returns, down 1.12% year-to-date.

• Latin America focused hedge funds have outperformed the MSCI EM Latin America Index by over 6% on a year-to-date basis.

• Distressed debt investing hedge funds delivered their eighth consecutive month of positive returns – up 2.25% during the month and 3.37% year-to-date.

• In 2013, a total of 1,124 new funds were launched while 777 funds reported themselves as liquidated, bringing the current size of the hedge fund industry to 10,757 hedge funds.