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

Q&A: Filippo Pignatti Morano On The Ultimate Alternative Investment...Classic Cars

Jan 29 2015 | 12:37pm ET

In 2011, Filippo Pignatti Morano launched a fund to invest in classic cars. FINalternatives...

Lifestyle

Looking For A Hedge Fund Manager? Try Davos

Jan 28 2015 | 8:48am ET

Davos, Switzerland seems to have become the hedge fund capital of the world—at...

Guest Contributor

From Switzerland With Love: Some Hard Truths About Central Banks And Risk

Jan 23 2015 | 7:54am ET

In the wake of the Swiss National Bank uncoupling the country’s currency from...

 

Editor's Note