The number of hedge fund and hedge funds-of-funds liquidations fell slightly to 291 in the three-months ended March 31 from 305 the previous quarter, Hedge Fund Research reported Thursday.
Hedge fund/funds-of-funds launches, on the other hand, were up slightly at 206 in the first quarter, up from 183 in the prior three-months. Over the year ended March 31, 910 new hedge fund and funds-of-funds were launched as 1,053 closed, HFR’s report showed.
Hedge fund industry assets totaled $2.856 trillion as of March 31, down 1.4% from Dec. 31, HFR researchers said in their report.
“Though launches showed an uptick in (the first quarter of 2016), the environment for new hedge funds continues to be extremely competitive with discriminating investors exhibiting low tolerance for underperformance,” said Kenneth J. Heinz, HFR’s president, in a summary accompanying the report.