(Opalesque) Seward & Kissel has released its 2019/2020 Hedge Fund Side Letter Study. The key takeaways of the Study are as follows: Excluding certain outliers, the average regulatory assets under management (“RAUM”) of the Mature Managers in the Study was approximately $5.1 billion (as compared to $4.9 billion in the prior study). The average RAUM of Newer Managers in the Study was approximately $387 million.
Funds-of-funds continued to be the most common category of side letter investor, representing 42% of all side letter investors. This category experienced a slight uptick from the downward trend we have seen in recent years.
