Click here to download eVestment’s latest hedge fund asset flows report, covering the month of June and including insights on the second quarter and first half of 2014. Some key findings from the report include:
- The hedge fund industry continues to set new milestones for growth in Q2 2014. After surpassing all-time peak AUM in April and reaching $3 trillion in May, new flows and performance again lifted assets in June to $3.032 trillion.
- The $6.1 billion added in June was the lowest total since January and marks the end of a four-month span of elevated inflows that averaged over $22 billion per month.
- The industry’s growth rate in H1 is on an annualized pace of 7.1%, its highest post-financial-crisis rate and its best start since 2007.
- Event driven strategies were the biggest winners in Q2 taking in $15.5 billion in new assets, activist strategies received over $6 billion.
- Investors believe there is opportunity in European credit and equity markets, allocating $5.3 billion in June and $9.0 billion in Q2.
- Performance has been key for macro strategies fund flows. In Q2, investors actively allocated to those returning >5% in the prior 12 months, while redeeming from those returning <5%.
- New allocations and asset retention have resulted in large firms dominating investor flows on a net basis in Q2 and H1 2014.
