News Digest:

The global hedge fund industry saw new net inflows of $9.1 billion during the January-March quarter of this year, the first such since the same period of 2022. A report from research firm HFR said overall global hedge fund capital rose by over $50 billion to $3.88 trillion.

The report said investors allocated new capital into the hedge funds at a time when the banking and financial risks increased as did the challenges of recession. Directional equity hedge strategies led both capital inflows and total strategy asset increases in the first quarter.

Takeaway:

The total equity hedge capital went up by an estimated $33 billion and ended the January-March quarter at $1.11 trillion as performance-based gains bolstered by the estimated net asset inflow of $3.3 billion, the report said. Event-driven strategies saw assets grow by $18.4 billion during the period, pushing the total to $1.05 trillion during the period.

End Notes

Source: https://www.pionline.com/hedge-funds/hedge-funds-pull-91-billion-q1-first-positive-flows-year-hfr