A volatility spike, sparked by inflation fears, rising interest rates and geopolitical tensions, has seen hedge fund attract the largest inflows in seven years during Q1, with investors seeking downside protection amidst market turbulence, according to a report by CNBC.
A volatility spike, sparked by inflation fears, rising interest rates and geopolitical tensions, has seen hedge fund attract the largest inflows in seven years during Q1, with investors seeking downside protection amidst market turbulence, according to a report by CNBC.
Data from HFR shows that during Q1 of 2022, hedge funds saw total capital inflows of $19.8 billion, the highest inflows since Q2 of 2015.
Macro and multi-strategy stood out as clear winners with a respective 9.1% and 7.1% return. Hedge fund managers also benefitted from the choppinness in risk assets in Q1, making a narrow gain of 0.3% according to HFR.