Launches & Closures

New funds wither in the heat

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New European hedge fund launches in 2008 plunged to their lowest level since 2002 as the market crisis sparked a rapid rise in risk aversion

The number of European hedge fund launches in 2008 sank to its lowest level since 2002, as acute market turmoil, meltdown in the global financial system and massive investor wealth destruction created the worst possible environment for starting new funds.

The annual survey by the EuroHedge research and data team shows that just over 200 new funds launched in Europe during the calendar year, raising total assets by year-end of a little under $18