LONDON (Reuters) - Investors cut their bets on hedge funds at the fastest pace for six months in July, data showed on Tuesday, as the Greek debt crisis, concerns over Chinese economic growth and U.S. interest rate uncertainty made for volatile global markets.
The SS&C GlobeOp Capital Movement Index, which calculates monthly hedge fund subscriptions minus redemptions at the start of each month, fell 2.7 percent in July, the fastest rate since a 3.3 percent drop in January.
"In terms of seasonality, July is typically a month that sees net outflows," said Bill Stone, chairman and chief executive officer of SS&C Technologies.
"This increase in net outflows most likely reflects concern over building economic pressures, particularly in Greece and China."
The index compiled by the fund administrator is based on data provided by its clients and represents about 10 percent of assets invested in the hedge fund sector globally.
Reporting by Nishant Kumar; Editing by David Goodman