Funds of Funds: Outflows hit funds-of-funds universe

Wed Oct 29, 2008

The ripple effect of last summer’s credit crunch has taken its toll on funds of hedge funds, with more than a third of the firms suffering net outflows. While the six-month survey of fund-of-funds asset growth for the year ended June 2008 found that the largest funds of funds, those with $1 billion or more under management, had grown 4.55% through midyear, the forecast for the full year’s growth is drastically bleaker, and likely to show net outflows for the first time since the survey has been conducted.

The fallout from deleveraging is starting to take its toll on the fund-of-funds universe. The costs of exposure to Anthracite and Petter Worldwide are still unclear, but will adversely impact the assets under management in the broader fund-of-funds industry. If both of these issues are not resolved, billions of dollars invested...

ISSN: 2151-1845 / CDC10004H


The full contents of this article are available to active AR subscribers and trialists only.

To continue reading please,
take a free trialsubscribe or log in to AR.


Subscribers have unlimited access to all current and archive content. Start your subscription today - click on the button below.

Subscribe now

Popular Searches on HFI