Despite routine Mainstream Media (MSM) coverage focusing on seemingly below-market returns and the increasing rate of fund closures, the total AUM for the hedge fund industry has now increased for nine consecutive years.
While fund closures are a mere consequence of the Darwinian nature of the business, investors continue to allocate funds to the investment vehicle, often viewing it as a separate asset class, due to a superior risk-return profile and low correlation with traditional asset classes.
