Net hedge fund industry inflows during the second quarter of this year increased to USD 41.1 billion, representing growth of 3.42 percent in assets since March, and a performance gain of USD 80.5 billion pushed net hedge fund assets to an estimated USD 1.67 trillion at the end of June, according to the latest Lipper Tass Asset Flows report, Hedgeweek reports.
This marked the second highest quarterly inflow since the second quarter of 1994 and almost double the USD 20.8 billion in inflows during the first quarter. On a rolling 12-month basis, inflows reached USD 102 billion, a sharp increase from the figure of USD 74.3 billion for the 12 months to June 2006 and close to the record-setting 2006 calendar year figure of USD 106.1 billion.
All strategies apart from global macro managed futures recorded net inflows. Gains were led by long/short equity and event-driven, which accounted for two-thirds of total inflows in the second quarter compared with three-quarters of the total in the previous three months, indicating that hedge fund inflows were slightly more dispersed this time around.