Among other figures, data showed assets under management in the emerging market hedge fund space reached the highest level since the second quarter of 2022.
Emerging markets hedge funds gains accelerated through the middle
of 2024, industry figures showed.
The HFRI Emerging Markets: Global Index, issued by Hedge Fund
Research, rose by 6.8 per cent in the year to date through May,
led by the HFRI EM: Asia ex-Japan Index, rising 5.1 per cent, and
the HFRI EM: India Index, up 4.3 per cent.
Total emerging markets and Asian hedge fund assets rose, with
assets under management rising to about $250 billion, while total
estimated capital invested in Asian hedge funds rose to nearly
$133 billion. These figures both represented the highest capital
levels since the second quarter of 2022.
The HFRI Emerging Markets (Total) Index, which covers all EM
regions, advanced 4.2 per cent YTD through May. The HFRI
Fund Weighted Composite Index®, which consists of funds investing
in both emerging and developed markets, rose 5.2 per cent YTD,
led by the HFRI Macro (Total) Index, which has rose 7.0 per cent
over the first five months of the year.
Other regional emerging markets indices posted mixed performance
through early 2024 with the HFRI EM: Latin America Index logging
a narrow gain of 0.2 per cent YTD, while the HFRI EM: MENA Index
fell 2.8 per cent on rising geopolitical risks.
Elsewhere, hedge funds with high exposure to cryptocurrency
across emerging market regions including South Korea, Russia,
China, the Middle East, as well as Japan have surged recently,
with the volatile HFR Cryptocurrency Index surging by 34.9
per cent YTD through May, this after surging 67.7 per cent in
2023.
