Hedge fund investors pulled back slightly on planned withdrawals in October, according to the latest SS&C GlobeOp Forward Redemption Indicator, which fell to 1.86% for the month, down from 2.21% in September.
The October figure also came in below the five-year average of 2.06%, suggesting investors are maintaining steady allocations to hedge funds despite broader market volatility, SS&C Technologies said on Tuesday.
“Trade and tariff uncertainty, expectations for Fed rate cuts, and the US federal government shutdown continue to drive volatility,” said Bill Stone, Chairman and CEO of SS&C Technologies. “Investors are maintaining allocations to hedge funds to enhance diversification, manage drawdowns, and improve risk-adjusted returns.”
The Forward Redemption Indicator tracks the total value of redemption notices received from investors in hedge funds administered by SS&C GlobeOp, expressed as a percentage of assets under administration (AuA) at the start of each month. The measure provides an early view of hedge fund investor sentiment and liquidity trends, as redemptions are typically notified 30–90 days in advance.
Redemption activity has fallen sharply over the past decade, down from a high of 19.27% in November 2008, as hedge fund investors have increasingly taken a longer-term approach to portfolio allocation.
SS&C GlobeOp, a leading fund administrator, will release the next update to the indicator on 21 November 2025.
