The amount of money managed by hedge funds has reached an all-time high of $5 trillion, fueled by a surge in capital allocations in the third quarter coupled with positive investment returns.
Analysis published Thursday by industry tracker Hedge Fund Research (HFR) showed total global assets under management stood at a landmark $4.98 trillion at the end of the third quarter.
Overall industry assets swelled by $238.4 billion in the three-month period that ended Sept. 30.
This included $33.7 billion in net new allocations from investors such as pension funds, insurance companies, sovereign wealth funds, endowments and family offices. HFR said that was the biggest quarterly net asset inflow since the third quarter of 2007 — before the Global Financial Crisis.
The remainder of the third-quarter capital increase stemmed from positive trading gains made by managers throughout the three-month period.
