Hedge Funds Hit With October Outflow

Dec 13 2013 | 12:09pm ET

Investors pulled more than $2 billion from hedge funds in October, just a month after adding twice as much to the industry.

October's net outflow totaled $2.2 billion, according to BarclayHedge and TrimTabs Investment Research. In September, investors had added a net $4.4 billion. Funds of hedge funds suffered a further $1.2 billion in outflows in October, continuing what BarclayHedge chief Sol Waksman called a "relentless" trend, with outflows in 22 of the last 24 months.

Hedge funds generally have done better.

“The outflow in October was only the second for hedge funds this year,” Waksman said.  “Hedge funds have taken in $49.4 billion so far in 2013, a sharp reversal from the $12.9 billion outflow in the same period last year.”

“Industry assets stood at a five-year high of $2.0 trillion, according to estimates based on data from 3,348 funds.  Assets are up 15.3% in 2013 but are down 16.1% from the all-time peak of $2.4 trillion in June 2008,” Waksman said.


In Depth

Q&A: Neil Azous Talks Global Macro Investing

Nov 24 2014 | 12:41pm ET

Neil Azous is the founder and managing member of Rareview Macro, an advisory firm...

Lifestyle

Griffin Selling Chicago Apartment

Nov 26 2014 | 11:40am ET

Citadel Investment Group’s Kenneth Griffin is making clear to his estranged wife...

Guest Contributor

Why The Big Money Is Going To Europe

Nov 14 2014 | 6:03am ET

Peer-to-peer lending was invented with the individual investor in mind. But despite...

 

Sponsored Content

    For Hedge Funds, Mastering Data Is Key To Success

    Nov 4 2014 | 9:45am ET

    Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

November 2014 Cover

Building a better market

Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.