Barclays: Institutional Investors Expect "Hedge Funds Revival"
Most equity hedge funds are positively correlated to the markets they trade and fail to beat equity benchmarks, but one category shows signs of noncorrelation Hedge funds have a generally high correlation to the stock market, a new study of hedge fund trends from Barclays points out, but investors appear to be betting this is “the year of the hedge fund revival.” In the last six year hedge fund assets doubled from $1.4 trillion to $2.8 trillion, but most of this growth was based on performance, not asset flows. The problem for many hedge funds is that performance recently has been...