http://blogs.reuters.com/reuters-dealzone/2008/04/07/tough-times-for-hedge-funds/ Behind the deals and deal-makers Sat, 6 Sep 2008 17:12:22 +0000 http://wordpress.org/?v=2.3.3 http://blogs.reuters.com/reuters-dealzone/2008/04/07/tough-times-for-hedge-funds/#comment-333770 allaboutalpha.com: AllAboutAlpha.com Fri, 11 Apr 2008 02:31:44 +0000 http://blogs.reuters.com/reuters-dealzone/2008/04/07/tough-times-for-hedge-funds/#comment-333770 [...] “Tough Times for Hedge Funds”: Reuters provides another prime example.  Says this promotional story for its hedge fund summit this week: “Many investors expect the $1.8 trillion industry’s estimated 10,000 funds to be winnowed down by a few thousand in a few years. Funds that oversaw nearly $4 billion in assets have already closed their doors in the first quarter of 2008.”  Only a couple of problems: A) The number of players in any new industry is always “winnowed down” as it matures and says nothing about the overall size of the industry and B) $4billion x 4 quarters = $16 billion = the lowest attrition rate in 3 years… [...] […] “Tough Times for Hedge Funds”: Reuters provides another prime example.  Says this promotional story for its hedge fund summit this week: “Many investors expect the $1.8 trillion industry’s estimated 10,000 funds to be winnowed down by a few thousand in a few years. Funds that oversaw nearly $4 billion in assets have already closed their doors in the first quarter of 2008.”  Only a couple of problems: A) The number of players in any new industry is always “winnowed down” as it matures and says nothing about the overall size of the industry and B) $4billion x 4 quarters = $16 billion = the lowest attrition rate in 3 years… […]

]]>