London Doubles Share Of Hedge Fund Assets, N.Y. Declines

Apr 16 2007 | 10:56am ET

Maybe rumors of New York’s demise aren’t greatly exaggerated, after all. International Financial Services, London said today that its hometown teams now manage 21% of worldwide hedge fund assets, up from 10% in 2002. New York, while still by far the largest hedge fund center in the world, saw its share of assets fall from 45% five years ago to 36% last year.

IFSL said that hedge fund assets in London grew six-fold during the period to $360 billion, a rate New York simply couldn’t compete with.

London’s position as the second city for hedge funds is due to stronger growth of hedge fund assets in Europe and Asia. The city is home to four-fifths of European hedge fund assets—a total of 900, IFSL reports. The study credited London’s “local expertise, the proximity of clients and markets, a strong asset management industry and a favorable regulatory environment” for its regional dominance.

IFSL estimates that hedge funds managed about $1.5 trillion at the end of 2006.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

DarcMatter: The Top Trends in Alternative Investments for 2017

Jan 13 2017 | 8:22pm ET

The $7 trillion alternative investments industry is poised for continued growth...

 

From the current issue of

The healthcare sector went on a tear beginning in 2011, thanks in large part to the passage of the Affordable Care Act and its impending implementat