About a year ago, I argued in this column that the
Asia-Pacific region was probably the most exciting place in the
hedge fund world - and nothing that has happened in the past 12
months has changed my view.
Markets across the region have, admittedly, been mixed over
the intervening period, with Japan stuttering after a strong
rise in 2005, and India being particularly volatile. This has
been offset in the ex-Japan markets, however, by the ongoing
"Greater China" story - as highlighted most recently by the
blockbuster initial public offering of the big Chinese bank
According to surveys conducted by AsiaHedge, a
sister publication of Absolute Return, assets in
Asia-Pacific hedge funds surged through the $100 billion
barrier by the end of 2005 - and raced on to reach almost $130
billion by the mid-year point of 2006, a huge increase from
only about $75 billion one year earlier.