Beside returns close or even below market benchmarks, institutional investors are still willing to allocate money towards hedge funds.
According to a Credit Suisse survey, 93 of 284 asked institutional investors are planning to be highly active in allocating money in hedge funds. They are even willing to do so at lower returns in order to meet long term requirements.
Most investors are going to invest in event driven strategies. 56% of the asked investors said they would place their money in such a hedge fund. 41% of the investors are willing to allocate money in equity long/short strategies.
Managed future have a negative balance. 17% of the investors say, they will divest money from managed futures.