Citi: Hedge Fund Assets To Double

May 30 2014 | 12:26pm ET

The hedge fund industry will double in size over the next four years, a Citigroup survey shows.

The bank’s annual hedge fund poll predicts that the hedge fund industry will manage $5.8 trillion in 2018, up from $2.9 trillion last year, as the industry takes on more retail investors and receives a larger share of the institutional pie.

“The hedge fund industry is entering its next evolutionary phase—one of optimization—a term we use to describe how firms are expanding, customizing and focusing their overall businesses,” Citi’s head of U.S. business advisory services, Sandy Kaul, said. “Investors are increasingly looking at hedge fund firms more as consultative partners to construct customized portfolios and capture new avenues of uncorrelated returns. In addition, the industry as a whole is beginning to fulfill some of the roles that banks used to traditionally own.”


In Depth

Q&A: Sancus Capital And The Disruption Of The CLO Market

Oct 5 2017 | 6:28pm ET

Traditional collateralized loan obligation (CLO) funds in the U.S. market can offer...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Finding Success as Alternatives Converge

Oct 9 2017 | 4:00pm ET

Rising interest among institutional investors over the past several years has led...

 

From the current issue of