Investors Redeem $4.9 Billion In June

Aug 8 2012 | 12:04pm ET

Investors pulled almost $5 billion from hedge funds in June, capping a 12-month period that has seen outflows of $32.1 billion.

The $4.9 billion outflow followed a May in which investors added $1.1 billion to hedge funds. Total industry assets dropped 1.3% to $1.71 trillion, according to BarclayHedge and TrimTabs Investment Research.

"The hedge fund industry can't seem to get out of the doldrums," BarclayHedge's Sol Waksman said. "Industry performance continues to lag popular benchmarks such as the S&P500, and asset growth has been flat for most of the past year."

Investors are pouring into eurozone hedge funds, hoping to profit from opportunities stemming from the continent's debt crisis. Inflows to such funds amounted to 3% of assets.

Funds of hedge funds, by contrast, continue to do terribly with investors; clients redeemed $8.7 billion from funds of funds last month, 1.7% of that industry's assets. June was the 13th month in the last 18 that funds of funds have suffered outflows.


In Depth

Kettera Q&A: The Advantages of Alternative Investment Platforms

Oct 28 2016 | 5:52pm ET

The past several years have seen a distinct push towards easier and cheaper access...

Lifestyle

Midtown's Plaza District Fades As Manhattan Office Landscape Shifts

Nov 22 2016 | 6:32pm ET

Lower leasing costs, more efficient office space and the hope of projecting an image...

Guest Contributor

Nowhere to Hide: Why the Future of Asset Management Depends on Innovation

Nov 15 2016 | 6:55pm ET

Information technology has reshaped the asset management industry’s periphery,...

 

From the current issue of

Chicago-based independent futures brokerage and clearing firm R.J. O’Brien & Associates (RJO) has hired industry veteran Daniel Staniford as Executive Director, responsible for the firm’s institutional business development in New York and London.

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR