Asia Comes Out On Top In Hedge Fund Performance Study

Jul 12 2010 | 2:09pm ET

Jim Rogers once said, “If you were smart in 1807 you moved to London, if you were smart in 1907 you moved to New York City and if you are smart in 2007 you move to Asia.” A new study seems to bear out the Quantum Fund co-founders maxim, at least if you are a hedge fund manager.

Singapore-based consultant GFIA said that it found that Asia-based hedge funds did better than their counterparts throughout the world, especially when it comes to local investments. That’s good news for GFIA’s hometown and Asian rival Hong Kong, and bad news for the world’s current hedge fund centers, New York and London.

It’s also a sign that investors and hedge fund managers may be on to something in their recent rush to open new firms or offices in the region, or to invest in them. Asia-based hedge funds enjoyed better annualized returns from January 2005 through this May across all five strategies looked at by GFIA.

Only one of those five strategies was not Asia-specific, however: macro/multi-strategy. The rest dealt exclusively with Asian equities.


In Depth

Q&A: TCA Fund Management's Bob Press on Small-Cap Private Equity

Aug 25 2016 | 8:55pm ET

The emergence of private credit as a replacement for traditional bank financing...

Lifestyle

Kiawah: Island Reversal

Aug 24 2016 | 9:59pm ET

Looking for real estate investments but the typical real estate fare isn’t cutting...

Guest Contributor

Old Hill Partners: Embrace Illiquidity

Aug 9 2016 | 2:39pm ET

The age-old financial concept that higher yields are the result of higher risk and...