Shift in hedge fund management to Asia Pacific gains more pace

AROUND three-quarters of assets under the management of Asia-focused hedge funds are managed by fund managers based in the region, up from about 60 per cent three years ago, according to a survey by industry tracker AsiaHedge released yesterday.

The growth is a big leap from the year 2000, in the early years of the industry, when half of the industry’s assets were managed by ex-Asia managers, mainly those in Britain and the United States, said Aradhna Dayal, editor of AsiaHedge.

The survey, which showed Asia hedge fund assets shrinking five percent in the first half to $145bn (£94.5bn), said $109bn was managed from within Asia as global funds set up local offices and a growing realisation that Asian assets are best managed locally.