The growth of assets in hedge funds stalled during the first
half of 2008, with the global total edging up only narrowly to
a bit less than $2.7 trillion, according to the latest analysis
of the HedgeFund Intelligence database and our associated
We should stress that these calculations are based on asset
numbers before the market turmoil of July and August, and
before the new and more dangerous phase of the global credit
crisis began to clobber markets in September. Through negative
performance alone, even before taking account of likely
redemptions, we would expect industry assets to fall from this
midyear peak by more than 10% by yearend.
When we last conducted this exercise – to measure
the aggregate assets at the start of 2008 – we
calculated total industry assets to be $2.646 trillion. We
counted only single-manager hedge fund assets and avoided
double-counting with funds...