Hedge Funds See Inflows in May After Months of Redemptions

In May, hedge funds saw a slight inflow of $1.7 billion, a small recovery after significant outflows in March and April. Credit and event-driven hedge funds performed best, while equity funds continued to face outflows. Investor sentiment remains cautious, with predictions of $100 billion being pulled from hedge funds in 2020, reminiscent of financial crisis levels. The industry struggles with stagnant assets, remaining around $3 trillion, similar to 2014 levels, highlighting growth challenges.

What was the net inflow into hedge funds in May?

• $24 billion

• $18 billion

• $100 billion

• $1.7 billion

Which type of hedge funds performed best in May?

• Index funds

• Long-short funds

• Credit hedge funds

• Equity hedge funds

What is the expected total withdrawal from hedge funds in 2020 according to Barclays?

• $1.7 billion

• $100 billion

• $18 billion

• $24 billion

What has been the trend in assets under management for the hedge fund industry since 2014?

• Slight decline

• Rapid decline

• Stagnation

• Significant growth

Why are investors pulling money from hedge funds according to the transcript?

• Interest in new markets

• Preference for equity funds

• Desire for higher returns

• Need for liquidity