Skip to: Content
Skip to: Site Navigation
Skip to: Search

November 22, 2008 11:54:14 CST



Industry Shakeout Clips Hedge Funds

Posted Jun 17, 08 3:22 CDT in Business 

(Newser) – A massive shakeout is transforming the world of hedge funds, the Wall Street Journal reports. Tougher market conditions mean smaller funds are merging or closing their doors, and new ones are facing difficulty getting started. The business, which mushroomed from a few hundred firms to 8,000 over a decade, is increasingly dominated by "goliath" funds managing over $5 billion in assets.

There are still fortunes to be made in the hedge fund world but as the big funds keep getting bigger, the industry is beginning to shed its swashbuckling, risk-taking image. Large funds are beginning to act more like conventional institutional investors. The size of the superfunds mean they can now play a bigger role in shaping the financial and business landscape.

Source Wall Street Journal

0 comments | Print E-mail | Digg Seed this on Newsvine Add this link to Del.icio.us StumbleUpon
Market conditions have spurred a brutal shakeout in the world of hedge funds, with the bigger and more successful funds moving further and further ahead of the pack.   (AP Photo/Jin Lee)
Institutional investors are increasingly turning to hedge funds as market conditions sour, and they tend to prefer the bigger "brand-name" funds.   (AP Photo/Henny Ray Abrams)
Market conditions are transforming the world of hedge funds, which is increasingly dominated by large funds managing billions of dollars in assets.   (Shutter Stock)
« Prev« Prev | Next »Next » Slideshow
Our editors also recommend:

Threads (
1
 of 2)



Loading...

Premium Articles from HighBeam

Find more articles like this

Today's Most Popular

Loading...

Other Business Stories


What is Newser?

2008 Codie Finalist

Face it: there's too much news. At Newser a team of editors and writers culls the most important stories from hundreds of U.S. and international sources and reduces them to a headline, picture, and two paragraphs. It's the Newser guarantee: we can take any report or column or video and pack what you need to know into 120 words or less. Newser's short-form aggregation, visual format, and unique information tools help you get more of the kind of news you want, in a quicker and more entertaining way. And we do it 24/7—you can come back morning, noon, night (and in between) for something new that matters. Read less, know more.

Learn more »