Aussie Hedge Fund Redemptions Slow In March

May 4 2009 | 12:01pm ET

Although Australian hedge funds were still reporting net outflows in March, it looks like December was the peak of redemptions for managers down under, according to an industry watchdog group.

Funds with offshore investors were hardest hit towards the end of 2008 as redemptions were based more on the investors' own liquidity and risk issues than on the underlying manager's performance, according to Australian Fund Monitors. 

The group said investors are still facing further liquidity issues in isolated cases this year - with some of the best performing managers over the course of the past year receiving redemptions from liquidity stressed investors.

However, against the backdrop of withdrawals are signs that the industry is turning the corner. For example, Macquarie Bank's MQ Asia fund is reporting net inflows in March following a stretch of outflows in the second half of 2008, and other funds are reporting positive signs that investors are returning from the sidelines, according to the group.

“AFM are also noticing an increase in site visits and interest from offshore investors from both Asia, Europe and the U.S.,” it said.


In Depth

'Smart Beta' Funds In Regulators' Sights, Hedgies May Be Next

Mar 26 2015 | 11:11am ET

Funds that mimic strategies used by active managers for a fraction of the cost could...

Lifestyle

Study: Both Marriage and Divorce Lead to Negative Hedge Fund Performance

Mar 25 2015 | 6:51pm ET

Trouble at home leads to trouble in the market for fund managers, according to researchers...

Guest Contributor

Concerned About Your HFT Exposure? Hedge It!

Mar 26 2015 | 1:06pm ET

High-frequency trading has been a persistent storyline for several years. The trading...

 

Sponsored Content

    Mar 9 2015 | 6:35am ET

    Kelly RodriquesKelly RodriquesAs more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…

Editor's Note