Two of Asia’s largest multi-strategy hedge funds – Singapore-based Dymon Asia Capital and Hong Kong’s Pinpoint Asset Management – delivered strong gains in June, capping off an impressive first half of 2025 as regional markets rebounded sharply from early-year trade war jitters, according to a report by Reuters.
The report cites an unnamed source familiar with the matter as revealing that Dymon’s flagship multi-strategy fund, which manages over $3bn, returned 2% in June, bringing first-half gains to 10.1%. Performance was driven by strong equity bets in Japan and South Korea, alongside contributions from macro and relative value strategies.
Pinpoint’s main fund, with more than $1bn in AUM, climbed 3.5% in June, taking first-half returns to 6.5%, the result of increased equity exposure. Its equity long-short China Fund also performed well, gaining 4.4% in June and 9.4% year-to-date.
The broader Asian hedge fund industry outpaced global peers in the first half, delivering an average 5.2% return versus 4.4% globally, according to a Morgan Stanley client note. The rally has been supported by improved sentiment around US-China trade tensions, rising foreign capital inflows into Asia, and South Korea’s market reform agenda.
Asian hedge funds’ gross leverage rose to 141%, near 12-month highs, while net leverage climbed to 61%, signalling rising risk appetite.
The MSCI Asia-Pacific Index gained 12% in the first half, with South Korea’s Kospi up 28% and Hong Kong’s Hang Seng jumping 21%, offering fertile ground for long-short and relative value managers across the region.
