Hedge-Fund Purge Deepens

The video discusses the recent closures of hedge funds and the consolidation among major firms like Citadel and Millennium. It highlights the issues of high fees and mediocre returns, leading to a shift towards private markets. Despite market pressures, there are significant new launches and investments in private equity and credit. The video also questions if managers are moving away from their expertise, risking illiquid assets.

What is the significance of private equity and private credit in the current hedge fund landscape?

What concerns do managers have regarding illiquid assets after the last crisis?