Industry Analysis

Cautious optimism for a better event-driven climate in 2012


2011 was a year to forget for event-driven with global uncertainty putting deals on hold and companies into damage limitation mode. But 2012 is looking more optimistic, particularly for Chinese and Japanese firms, and event-driven’s fortunes could be on the turn

Anyone who has followed the Asian hedge funds industry for a more than a few years is likely to experience the feeling of déjà vu. As the markets rotate through cycles, hedge fund strategies go in and out of favour as the years go by. So it is with event-driven funds – the hot topic in late 2009 and early 2010, it is once again a strategy to watch, industry pundits say. But are event-driven funds bound to disappoint again, as they did last year, or are managers getting smarter at exploiting the opportunities?

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