A record $19.5 billion obscures a more ominous truth:
Launches are down more than 50%, with 71% of the money at the
top five funds
By Britt Erica Tunick
New hedge fund launches in the United States amassed a
record $19.5 billion during the first half of 2008.
Unfortunately for managers looking to strike out on their own,
that figure is only a paper moon. The number of new funds with
assets of $25 million or more is down by more than half,
launches are being postponed right and left, and a big chunk of
that $19.5 billion is Goldman Sachs capital that went to two of
the firm's own fund launches.
Goldman Sachs Asset Management garnered $8.1 billion of that
total - $7 billion in its Goldman Sachs Investment Partners, an
equity long/short strategy, and $1.1 billion in Goldman
Mortgage Credit Opportunities. Without those funds, the...