Best And Worst: Hedge Fund Flows Follow Performance

Nov 14 2012 | 10:58am ET

The hedge fund industry has seen volatile flows over the past two years—with the exception of the very best funds out there.

The top-performing decile of hedge funds have helped themselves to twice their share of positive hedge fund flows since the beginning of last year. The group took in more than $10 billion of the $49.1 billion that investors have added to hedge funds between January of last year and September of this year, according to BarclayHedge and TrimTabs Investment Research.

"The top hedge funds accounted for 21.4% of the hedge fund industry's flows," TrimTabs CEO Charles Biderman said.

Equally unsurprising, the bottom decile of hedge funds in terms of performance bled assets over the same period, losing $6.4 billion to withdrawals.

During those 21 months, the top 10% of hedge funds enjoyed a median return of 27.8%. The bottom 10% suffered a median decline of 25.6%.


In Depth

Malik: The Science of Deal Sourcing 201

Aug 27 2015 | 5:35pm ET

Deal sourcing is understandably a hot topic among private equity firms because it...

Lifestyle

Rolling Art Advisors Marketing Collectible Car Fund As Uncorrelated Alternative

Aug 27 2015 | 6:47pm ET

A new fund is trying to provide investors with greater access to an emerging asset...

Guest Contributor

Agecroft Partners: Hedge Fund Industry Assets to increase $250B by Summer 2016

Aug 11 2015 | 11:29am ET

Assets will continue to flow into the hedge fund industry despite long-standing...

 

Editor's Note