Bloomberg reports that, according to estimates from Eurekahedge, the global hedge fund industry lost $100bn in assets last month as investors withdrew funds.
In the meantime, HedgeFund.net has just released its third-quarter estimates for the industry. The website estimates that total assets in single manager funds fell 16% to around $2.5 trillion. Investor redemptions are thought to have accounted for $11.3bn in the period. Fund of funds assets are thought to have fallen 14.9% to $1.24 trillion, with $75.7bn down to redemptions.
Bloomberg also reports that Man Group, the world's largest publicly-traded hedge fun, has been described as 'flying on one engine' - the firm's AHL Diversified Futures fund. The news agency quotes Citi analyst Haley Tam, who said in a note to clients: 'The near-term outlook depends on one engine: AHL. Having even one engine puts Man in a better position than peers, but more AHL also means more earnings volatility.
The Financial Times reports that Blackstone's GSO Capital Partners and Golden Tree Asset Management have turned to investors to raise additional capital 'in the face of markdowns on their holdings and margin calls from their lendors'.
Finally, and on a completely unrelated subject, Barclays Capital has estimated that the value of global M&A in 2009 will come out at between $2 - 2.5 trillion - roughly back to 2004/05 levels.
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