Hedge funds pass $1 trillion benchmark

The hedge fund industry has burst through the $1 trillion barrier, with equity hedge (long/short) funds proving the most popular strategy, according to recent research. The level of growth is evidence of their continued popularity among investors wishing to diversify portfolios, according to Joshua Rosenberg, president of HFR Asset Management, who carried out the research. Broken down by strategy, equity hedge has the largest allocation, with $291.5bn, while event driven has $135.8bn and relative value arbitrage third on $127bn. Q1 2005 saw inflows of $208m to short selling strategies,...