Introduction
Hedge funds recorded their second month of gains in August amid rallying markets and further monetary stimulus from major central banks around the globe. The benchmark Eurekahedge Hedge Fund Index rose 0.63%1 while the MSCI World Index returned 1.64%2 over the month. US$7.83 billion in total assets were added during August, of which US$2.88 billion came from managers’ performance and the remaining US$4.95 billion from investment inflows. Total industry size now stands at US$1.74 trillion, the highest level since April 2012.
Highlights of hedge fund performance and asset flows for the month are as follows:
August 2012 | US$ billion |
---|---|
Allocation (Inflows) | 13.11 |
Redemption (Outflows) | -8.16 |
Net Asset Flows | -4.95 |
Positive Performance (Growth) | 4.41 |
Negative Performance (Decline) | -1.53 |
Total | 2.88 |
Overall Total | 7.83 |
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Footnote
1Based on 57.74% of funds which have reported August 2012 returns as at 17 September 2012
2MSCI AC World Index All Core Local Currency
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