Asia hedge funds net $500 mln in Aug, assets at 32-mth highs

HONG KONG Wed Sep 21, 2011 1:12pm IST

Arrangement of various world currencies including Chinese Yuan, Japanese Yen, US Dollar, Euro, British Pound, Swiss Franc and Russian Rouble pictured in Warsaw January 26, 2011. REUTERS/Kacper Pempel/Files

Arrangement of various world currencies including Chinese Yuan, Japanese Yen, US Dollar, Euro, British Pound, Swiss Franc and Russian Rouble pictured in Warsaw January 26, 2011.

Credit: Reuters/Kacper Pempel/Files

Related Topics

HONG KONG (Reuters) - Asia-focused hedge funds attracted a net inflow of about $500 million in August, increasing their total inflows for 2011 to $7 billion, as investors shrugged off volatile markets and raised bets on the region's fast growth, new data showed.

Flows this year has exceeded last year's when these funds got net inflows of $4 billion, data released on Wednesday by Singapore-based hedge fund tracker Eurekahedge showed.

European hedge funds saw net outflows worth $2.8 billion in August, while North American funds attracted net inflows of $4.8 billion, the data showed.

Total assets under management of the Asian hedge funds tracked by Eurekahedge rose to $136.1 billion at the end of August, the highest since December 2008.

While cumulative hedge fund assets in Asia remain about $40 billion below their peak hit in December 2007, the industry is seeing a revival from the global financial crisis, with some funds attracting hundreds of million of dollars.

High-profile funds such as Azentus, launched by former Goldman Sachs trader Morgan Sze, and the ones planned by Carl Huttenlocher, the former Asia head of JPMorgan Chase & Co's Highbridge Capital and Oasis Management's Seth Fischer are expected to boost industry assets further this year.

Asian hedge funds, including those betting on Japan, received a net inflow for the 16th consecutive month in August, the data showed, helped by outperformance in 2011.

The regional funds, as measured by the Eurekahedge Asia index, lost about 2.7 percent in the first eight months of the year. By comparison, the MSCI AC Asia Index was down about 10 percent.

In August, the funds lost about 3.5 percent compared with the 9.2 percent decline in the MSCI AC Asia Index as stocks across the region slumped on worries about the health of the U.S. economy and the European sovereign debt crisis.

(Editing by Muralikumar Anantharaman)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Global Trade Deal

Global Trade Deal

Rural votes, old traumas drive India's WTO brinkmanship.`  Full Article 

E-Commerce Funding

E-Commerce Funding

E-tailer Flipkart raises $1 billion in funding.  Full Article 

Chopper Deal

Chopper Deal

Finmeccanica settles with Italy prosecutors to end Indian chopper deal probe.  Full Article 

Adani Project

Adani Project

Australia approves Adani's $16 bln Carmichael coal project  Full Article 

New Frontiers

New Frontiers

EXCLUSIVE - Goldman moves executive to new role building ETFs.  Full Article 

India-U.S. Talks

India-U.S. Talks

Kerry to woo Modi's India, but quick progress unlikely  Full Article 

Argentina Debt Default

Argentina Debt Default

Insight - Jaded Argentines brace for looming debt default   Full Article 

Anti-trust Probe

Anti-trust Probe

Microsoft targeted in apparent Chinese anti-trust probe  Full Article 

Gaza Conflict

Gaza Conflict

Israel strikes house of Hamas Gaza leader, digs in for long fight.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage