Absolute return providers have been forced to respond to capacity questions by changing fund remits or even soft-closing vehicles as flows into the sector leap this year.
Gold funds were standout winners in August as investors' appetite for risk waned amid concerns of a tapering of monetary stimulus in the US and potential military action in Syria.
Top fund managers have expressed anger over Co-operative Bank's £1.5bn rescue plan and warned its risk a full-scale investor rebellion if it fails to deal with its bondholders.
While gilts have provided a safe haven for investors in tough times, funds in the sector will not offer that same protection as global monetary policies shift. Paul Burgin reports.