Hedge fund investors are looking to Asia for the best opportunities to make money this year and are planning to increase their allocations to managers who know the region — and know China in particular.
A new survey of pension funds, sovereign wealth funds, endowments and other investors with substantial hedge fund holdings showed them hunting for managers able to deploy bread-and-butter hedge fund strategies such as equity long/short investing in Asian markets.
The survey found Asia Pacific displaced Europe as the most sought after investment region in 2019, with 36 per cent of investors planning to allocate more to managers trading there this year. Some 26 per cent planned to allocate more to China-focused managers, and 20 per cent said they were looking to increase exposure to global emerging markets.