Reuters.uk – Hedge fund investors are being asked to tie up their money for longer, sometimes up to five years, to match the longer duration of investments in areas such as private equity.
Traditionally, hedge funds have handcuffed investors for between three months to one year. But some are now arguing that if investors want that sort of liquidity they can choose to buy shares of hedge fund firms listed on the stock exchange.
Many hedge funds have been looking towards less liquid investments, including credit and emerging markets, to boost returns, partly weakened by low volatility on traditional stock and bond markets in Europe and the United States.
