In another reversal of fortune — this time for the better — more institutionally oriented hedge fund and hedge fund-of-funds managers saw a rise in assets than those sustaining losses for the year ended June 30.
Despite that bright spot, aggregate assets managed worldwide in single and multistrategy hedge funds by the 113 firms in Pensions & Investments' universe rose 3.1% to $1.241 trillion during the 12-month period, trailing the 5.3% increase of a year earlier.
In a turnabout from the prior year, 46% of hedge fund firms responding to P&I's eighth annual survey reported growth in assets under management. Asset declines were reported by 29% of respondents, while 4% said growth was flat and 21% were new to the survey. In the prior year's survey, 59% of managers had lower AUM while just one-quarter reported increased or flat assets. The balance was firms new to survey.
P&I annually surveys institutionally oriented firms to collect data about worldwide assets managed in hedge funds and funds of funds. Data for hedge fund managers that do not respond to P&I's survey are collected from the firms' ADV Investment Advisor Disclosure forms filed with the Securities and Exchange Commission.
The span of changes was wide. The largest gain — 77.1% — came from 69th-ranked Napier Park Global Capital Ltd., which now has $3.3 billion. The biggest decline — 43.3% — was seen by 61st-ranked Pine River Capital Management LP, which now has $4.6 billion.
When it comes to hedge funds-of-funds managers, a year-to-year comparison of aggregate growth is difficult because the universe of firms responding to the survey dropped to 31 from 44. Assets managed in commingled and customized hedge funds of funds totaled $414 billion as of June 30 vs. $416 billion a year earlier.
Sixty-one percent of the fund-of-funds managers reported asset growth for the year ended June 30, while 29% experienced declines. Three companies were new to the survey universe.