Final asset flow figures for January revealed that managers incurred performance-based losses of US$4.5 billion while recording net asset outflows of US$1.7 billion as hedge funds got off to a rough start in 2014. Preliminary data for February shows that managers have posted performance-based gains of US$14.8 billion while net asset inflows stand at US$11.0 billion, bringing the current assets under management (AUM) of the industry to US$2.03 trillion – the highest level on record.
Figure 1: Summary monthly asset flow data since January 2011
Key highlights for February 2014:
- Hedge funds posted their best performance in the last 12 months, up 1.79% with fund managers delivering performance-based gains of US$15 billion and recording net asset inflows of US$11 billion during the month, bringing the current AUM of the global hedge fund industry to US$2.03 trillion - a new record high.
- Long/short equities hedge funds recorded their 15th consecutive month of positive net asset flows, with net capital allocations to the strategy for 2014 standing at US$19.0 billion.
- Trend following strategies posted their ninth consecutive month of net asset outflows in February, and saw redemptions worth US$12.7 billion over this period.
The full article is available in The Eurekahedge Report accessible to paying subscribers only.
Subscribers may continue to login as usual to download the full report and non-subscribers may email email@example.com to enquire on how to obtain the full research report.
1Based on 49.23% of funds which have reported February 2014 returns as at 13 March 2014
2 MSCI AC World Index (Local)