Hedge-fund sector: Singapore's success story set to continue

THE competitiveness of the hedge-fund sector in Singapore recently attracted some comment that surprised me. Some observers have begun to question whether Singapore, after years of strong growth, is at this time an attractive place to set up a hedge-fund business. Yet to suggest the city-state is less competitive runs counter to a lot of evidence as well as the views and experiences of most local practitioners I meet.

Official data on the size and growth of the hedge-fund industry in Singapore points to a sector in robust health. Assets managed locally reached US$33.3 billion at the end of 2014, up from US$31.5 billion in 2013 and US$20.3 billion in 2012, according to HedgeFund Intelligence (HFI). Eurekahedge says there were 289 funds managing money from Singapore as at June this year, a number that h…