Wednesday, 30 July 2014
Last updated 22 min ago
Jun 25 2014 | 10:05am ET
Hedge fund assets under management have crossed the $3 trillion threshold for the first time on record, according to new data from eVestment.
The figure represents an all-time high, surpassing the industry's previous Q2 2008 peak, and is the result of both new allocations—$22 billion in May, $93.3 billion year to date—and performance gains, which added $37.8 billion to total AUM in May.
Equity funds continue to register high inflows, a trend that has persisted since June 2013. Investors poured $11.5 billion into equity strategies in May, bringing YTD allocations to $59.4 billion.
Investors also seem to have rediscovered alternative credit strategies: after six months of mixed flows, such funds attracted $8.4 billion in May. Meanwhile, their love affair with event-driven strategies continues unabated—investors poured $6.4 billion into them in May, over $4 billion of that into activist funds.
MBS strategies, which eVestment considers a bellwether for investor sentiment towards credit strategies generally, saw strong inflows of $1.5 billion in May. Such funds lost about $10.1 billion from June 2013 to March 2014, but seem to be on the rebound.
Macro hedge funds attracted $1.6 billion in May.
Managed futures strategies remain out of favor—May marked their ninth consecutive month of outflows as they bid farewell to $2.1 billion.
Regionally, investors put $8.3 billion into Americas funds and $1.2 billion into Europe funds while pulling $0.93 billion out of Asia funds and $0.14 billion out of emerging markets strategies.
Jul 8 2014 | 10:48am ET
The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…