Despite a lackluster year for hedge funds in 2014, research firm eVestment said wealthy investors are set to invest at least $90 billion into hedge funds in 2015.
Researchers said institutional investors will keep their investments and continue to allocate more to hedge funds in 2015, with asset flows into hedge funds hitting between $90b and $110b, AsiaFrist reported.
The asset flow will be fueled by fresh demands from pension funds, endowments, and insurers that are looking for alternative investments outside of traditional stock and bond holdings.
Investors’ appetite for hedge funds will continue in 2015, the eVestment researchers said, even as the average fund returned just roughly 4% in 2014 through November.
In Asia
Thinking of launching a hedge fund in Asia? Get in line. A number of global fund executives struck out on their own in Asia this year, bolstering the profile of the region’s industry and landing them first in line with investors eager to get in with big-name managers.
On the heels of a Hong Kong fund started in September by a veteran of the former SAC Capital Advisors LP is ex-TPG-Axon Capital Management LP partner Wesley Wong, who is in the early stages of planning his own fund that will bet on moves in Asian stocks, according to a person familiar with the matter.
His fund is expected to begin operating in mid-2015, the person said. Wong was based in the $3 billion New York firm’s Hong Kong office, where he had worked for more than eight years, according to licensing records, before departing in May.
