Fund administrator Citco reports that hedge funds saw greater inflows last year than in 2020 as performance improved across the strategy set, sparking $37 billion net inflows.
Inflows outpaced redemptions each and every quarter last year, with the first quarter being the busiest at $13.9 billion in inflows.
The comeback is largely due to the strong gains with a weighted average return of 11.4%, while trading volumes also soared as managers saw rising interest rates and inflation. Citco also found the correlation between trades and volatility dropped sharply in 2021, bar a few . . .
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