Susan Barreto, deputy editor, InvestHedge
Investor appetite for hedge funds in 2009 may have been
anaemic, but as hedge fund returns improved, the pace of new
allocations has picked up and institutional hedge fund
portfolios are set to handily make up the ground lost after the
financial crisis of 2008. The first two months of 2010 already
saw another $4.8 billion in newly awarded mandates, which is
equal to all the new allocations that we recorded in during
A total of 65 institutional investors, with assets totalling
nearly $1 trillion, made their hedge fund buying decisions
public through InvestHedge's monthly mandate news summary
during 2009. And, while only $5 billion of new money was put to
work in hedge funds and funds of hedge funds in 2009, another
$5 billion was waiting to be put to work at year-end.
Chalk it up to the lack of liquidity and...