Hedge funds are set to spend an estimated $2.09 billion on
IT this year - representing an average of around nine basis
points of total assets under management - according to a new
survey by Citi Prime Finance and software and consulting
services firm First Derivatives.
The Prime Finance 2011 IT Survey documents the industry's
aggregate expenditure on information technology, as well as the
average expenditure per hedge fund. The report surveyed 75
hedge funds in the US and Europe, along with 15 vendors.
The results suggest that hedge funds are changing their
approach to investing in IT in several ways. While hedge funds
have traditionally sought to...