Hedge Funds Faced Tough Month as Redemptions Top $4 Billion in December
Though partially due to seasonal factors, hedge funds saw net outflows of more than $4 billion in December, ending what was a somewhat positive quarter for hedge funds overall.
According to Peter H Laurelli of HedgeFund.net“Although it is an outflow, it is still the lowest change in assets due to investor flow for the year.”
According to the article, investors pulled over $330 B from hedge funds in all of 2009, or 15% of total hedge fund assets. Much of this was early in the year as the US faced an unprecedented financial crisis:
Source: NYTimes Dealbook
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