Investors are still hooked on hedge funds and their interest keeps growing as the years go on. Hedge funds are getting a lot of attention lately and investor and Principal of Fortress Investment Group believe that this all is for very good reasons. Currently, there is about $3 trillion of assets in hedge funds which is 12% more than just a year before. Hedge funds are considered a type of alternative asset in the same class as private equity. The 2 are currently about even when it comes to how popular they are among investors.
A lot of people have had very bad misconceptions about hedge funds over the years and Gareth Henry sees this changing as of late. Investors are loving investing in hedge funds and they are loving the revenue that they are earning even more. Gareth Henry notes that even Bloomberg News and other outlets are reporting on the popularity of these funds and why so many people are choosing them today. Investors have shown a huge appetite for the investment device and that doesn’t appear to be going away any time soon. Read the article at institutionalinvestor.com
The amount of capital that is being allocated to hedge funds has not been higher than it is now than it has been in the last 3 years. Just a year earlier, investors had about 12% of their portfolio invested in hedge funds and now that number is closer to 28% Gareth Henry says. This is just one percentage point behind private equity. These numbers are very interesting to Gareth Henry who received his education in mathematics prior to becoming a success on Wall Street. There have been people singing the praises of hedge funds for years now because of the high returns that they have been shown to bring. Unfortunately, they can come with some big risks too if investors make some bad decisions. Gareth Henry believes that it is important to have the right perspective when it comes to an investment to make sure that you are making the best financial decisions possible for both your portfolio and your future.