Changes afoot in the alternative investments industry

THE alternative investment industry is expanding and evolving rapidly across the world. In the past 10 years alone, assets under management (AUM) have tripled to over US$9 trillion. Hedge funds are an integral part of this growth story, with industry AUM doubling in size to over US$3 trillion and the number of fund managers surpassing 6,000.

Singapore punches way above its weight despite its tiny population and size. Albeit a small market, the hedge fund industry in the city-state continues to thrive, accounting for about 20 per cent of the total hedge fund AUM for the Asia-Pacific region. It is a popular choice for managers as a base for their hedge fund operations to access the Asian and global markets. According to latest Eurekahedge data, Singapore accounts for 16.4 per cent of the Asian industry population by head office location - behind Hong Kong but ahead of Australia, United States, United Kingdom and Japan. In 2019, Singapore-headquartered firms outperformed the global hedge fund industry, taking the top spot with an annual performance year-to-date of 10.23 per cent.

Exciting changes are now afoot, all of which are set to be game changing for the alternative investment industry.