A new report by Citco says hedge funds are set to be hit by $20 billion of redemptions during the remainder of the year, according to a report by Bloomberg.
While the sector saw net inflows during the first quarter of 2022, investors withdrawals for the current quarter are expected to total $13.5 billion with an additional $6.5 billion set to be redeemed before the end of the year.
The Citco report also notes that fresh investments could well cancel out any redemptions with the industry seeing net inflows of $13.6 billion in Q1, more than double the amount seen in last three months of 2021, as new subscriptions reached $52.5 billion.
