Emerging Markets Funds See Best Start Since '06

May 30 2012 | 12:13pm ET

Emerging markets hedge funds are off and running in 2012, gaining 7.3% in the first quarter, says Hedge Fund Research.

The gains represent emerging market funds’ best start to a calendar year since 2006, according to the latest HFR Emerging Markets Industry Report.

Total capital invested in emerging markets hedge funds hit a record $127.3 billion as of the end of Q1 2012, up by nearly $10 billion since the end of 2011. The previous AUM record—$123 billion—was set in Q2 2011.

The increase in capital was driven by performance-based gains, as net new capital flows from investors remained muted, with funds experiencing inflows totaling $3.1 billion, while those experiencing outflows totaled $3.4 billion, resulting in a modest net outflow of $365 million in the first quarter.

New capital flows were concentrated in emerging Asia and Russia/Eastern Europe, which received $500 million in net new capital combined.


In Depth

Q&A: George Schultze On His Fund's Unique Approach to Distressed Investing

Apr 16 2015 | 1:01am ET

George Schultze is a managing member of Schultze Asset Management, a long/short...

Lifestyle

Puerto Rico Woos The Rich But So Far Gains Little

Apr 17 2015 | 2:45am ET

Hedge fund manager Rob Rill grins. He has just had word that U.S. financial regulators...

Guest Contributor

Minnesota Supreme Court Rejects The Ponzi Scheme Presumption: Lenders Claw Back Some Of Their Own Rights

Apr 17 2015 | 9:23am ET

A recent court ruling in Minnesota has put an end to the Ponzi Scheme Presumption...

 

Editor's Note