Japanese hedge funds took a major hit last year, after investors pulled out $7.7 billion of assets. This marks the second year in a row that the Japanese hedge fund industry has posted a loss. Valued at $24 billion, it is in stark contrast to the rest of the funds in Asia, valued at over $101 billion. <\/p>\n
"Japanese fund managers acknowledge their performance has not been very good, resulting in redemptions," said Hideki Hashiguchi of HSBC Global Fund Services Ltd.<\/p>\n
Some blame the Tokyo Stock Exchange, which unlike most other markets, saw a drop last year of almost 13%. Other investors blame Japanese hedge fund managers, who they claim don’t know how to short effectively. <\/p>\n
The U.S.-run Whitney & Co’s Japan Select Investors Fund lost 7.5% in 2007, while other long\/short equity funds followed suit. Reps at the London-based Dejima Fund, which uses similar strategies in the Japanese equity market, said the fund was down 42%.<\/p>\n
Goldman Sachs is among the names to recognize the red flags, prompting them to close one of their fund of funds, GS Strategic Japan Partners, who invests in Japanese funds.<\/p>\n
The numbers are a blow to managers in Japan, who understand the desire of foreigners to diversify and invest in Asian funds. While some are responding by closing their doors, others are making a last-ditch effort by adopting new strategies or slicing their management fees down to 1.5%<\/p>\n
Julie Scuderi
Contributing Editor for HedgeCo.Net
Email: julie@hedgeco.net<\/p>\n
HedgeCo.Net is a premier hedge fund database and community for qualified and accredited investors only. Membership on www.hedgeco.net<\/a> is FREE and EASY. We also offer FREE LISTINGS for Hedge Funds! Japanese hedge funds took a major hit last year, after investors pulled out $7.7 billion of assets. This marks the second year in a row that the Japanese hedge fund industry has posted a loss. Valued at $24 billion, it is […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-7097","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/7097","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=7097"}],"version-history":[{"count":0,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/7097\/revisions"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=7097"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=7097"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=7097"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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