For the past ten years, critics of the hedge fund industry have repeatedly claimed that the industry is dying. They point to falling returns, underperformance compared to the S&P 500 and high fees as markers of the industry's struggles.
But the sector has started to defy its critics this year.
Hedge fund sector performance
Investors pulled $33 billion from hedge funds in the first quarter of 2020, according to data group HFR. This was the industry's fourth-largest quarterly outflow in history. It was the highest since the second quarter of 2009 when the sector reported outflows of $42 billion.
However, the...

