Asia Hedge Fund Assets Increasingly Managed From Region

Sep 26 2011 | 3:08pm ET

Asia-focused hedge funds actually shrank in the first half, but the region still has reason to celebrate.

Some three-quarters of Asia-focused hedge fund assets are now managed from the region, primarily Hong Kong, a new survey from AsiaHedge shows. That's up from about 63% three years ago and about 50% in 2000.

Aradhna Dayal, editor of AsiaHedge, said the growing proportion of Asia-focused money managed from the region shows "an increasingly serious commitment to regional offices by international managers" as well as the growth of local fund managers, among them several giant hedge funds launch in the region by former proprietary traders and veterans of Western hedge funds.

Total assets of Asia-focused hedge funds fell 5% in the first half to US$145 billion, of which US$109 billion was managed locally. Only US$77 billion was managed from the region in 2008.

The growth of the local industry has benefitted one place in particular—exclusively, actually. Hong Kong built on its lead over its regional rivals to cement its place as the New York of the Asia-Pacific region; it was the only city to see an increase in hedge fund assets in the first half, accounting now for 27% of the regional market.


In Depth

GSAM's Papagiannis: Liquid Alternatives For The Long Run

Apr 21 2017 | 8:44pm ET

Interest in liquid alternatives cooled a bit last year amid a broad shift in investor...

Lifestyle

Aston Martin Returns To Debt Market As DB11 Drives Turnaround

Mar 31 2017 | 5:21pm ET

James Bond’s preferred carmaker is returning to the public debt markets for the...

Guest Contributor

Debunking Conventional Investment Wisdom (Part II)

Apr 17 2017 | 5:56pm ET

The alternative investment industry is currently replete with buzzwords around data...

 

From the current issue of