Secondary markets hit as May spooks investors


The precipitous fall in equity markets caused by the European debt crisis has seen Hedgebay's secondary market hedge fund index fall to its lowest level on record, with the firm reporting a "significant level" of trading volumes during the month.

The average price being paid for hedge funds assets fell to 71.99%, the lowest since Hedgebay was established in 1999, and a drop of 22% from April's average. Hedgebay attributes the decline to investors reacting to the volatility created by the fallout from the Greek debt crash.

The month of May saw the debt crisis spreading across Europe, creating volatility