New Hedge Funds Raised Less In 2008

Feb 6 2009 | 12:02am ET

New hedge funds raised significantly less last year than in 2007, as hedge funds suffered their worst-ever year of performance, according to a new survey.

The Absolute Return magazine new funds survey for 2008 revealed that the largest new fund launches in the U.S. amassed a combined $23.17 billion under management in contrast to the $31.5 billion for the largest new funds in 2007 and $31 billion in 2006.  

Only 35 new funds launched with more than $50 million in the first half of last year, totaling a combined $19.5 billion. Of that amount, however, $8.1 billion came from two new funds introduced by Goldman Sachs. The remaining $11.4 billion accumulated through June 2008 was well below the $14 billion held by the 72 funds that formed during the first half of 2007. The number of new vehicles was also down in 2008, with only 55 funds managing launches that amassed $50 million by year end, compared with 81 such funds in 2007.

Six funds raised more than $1 billion, compared with eight in 2007.  The group included Appaloosa Management’s Thoroughbred Fund with $1.9 billion, Lone Pine Capital’s Lone Dragon emerging markets fund with $1.8 billion and Highliner Investment Group’s $1 billion market-neutral equity Alyeska fund.


In Depth

Will Liquid Alts’ Performance Sustain Future Asset Flows?

Aug 25 2014 | 10:34am ET

Liquid alternative investment funds saw the highest percentage of capital inflows...

Lifestyle

Hedgies, Economists and Musicians Mingle At Milkin Mixers In Hamptons

Aug 25 2014 | 6:00am ET

Leave it to Michael Milken to bring some gravitas and sweat to the Hamptons -- along...

Guest Contributor

Looking Ahead: What’s In Store For Managed Futures?

Aug 22 2014 | 12:52pm ET

The last five years were phenomenal for investors in equity indices. Will the next...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    Aug 25 2014 | 11:21am ET

    As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…

 

Futures Magazine

July/August 2014 Cover

The time was right

Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...

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.