Apocalypse Now?
Oct 20th, 2008 | Filed under: Today's PostForbes, the magazine that famously declared that the hedge fund industry was the “sleaziest show on Earth” announced late last week that the apocalypse had finally arrived for the global hedge fund sector (“The Hedge Fund Apocalypse“). With a ten percent drop in hedge fund assets last quarter (1.5% of which was from actual withdrawals), the magazine says “Funds are scrambling to meet the withdrawal requests…“ (The story comes with the increasingly common caveat: “…year-to-date, the decline in hedge funds is far less severe than the rout in the index, which is down 35% since January.”)
“Stronger than ever…”
Apparently, however, many corners of the industry didn’t get the “end of times” memo. Rothstein Kass, an accounting firm with a focus on the family office community, released the results of a survey last week showing that 60% of so-called “single family offices” (average AUM $700 million, not a typo) are planning additional allocations to hedge funds next year (chart- below left).
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Great piece this morning refuting the uninformed rubbish that the media loves to pump out. All the more reason why we need AllABoutAlpha.com for its “sober second thoughts”. Keep it up!