Hedge Fund Management Industry Description

Companies that provide the management and sale of hedge funds.

Summary

Not long ago, hedge funds were perceived to be strange, convoluted investment pools open only to the very rich (and strong of stomach). The spectacular collapse of multi-billion dollar hedge fund Long Term Capital Management in 1998 underscored the funds’ volatility. But after the tech bust and the 9/11 attacks on the New York financial district sent the stock market into a tailspin in the first half of the decade, investors flocked to the secrecy-shrouded funds renowned for strong returns during bear markets. Institutional and retail investors began to funnel money to such hedge fund managers as Andor Capital Management, Citadel Investment Group, Pequot Capital Management, and UK-based Man Group. While big money managers such as Citigroup and JPMorgan Chase have had their own hedge funds for years, traditional retail investment managers, such as OppenheimerFunds, which owns Tremont Capital Management, and Legg Mason, via its 2005 purchase of Permal Group, are getting into the act.

Hedge Fund Management Industry Resources

• BusinessFinanceMag.com
  
• European Private Equity and Venture Capital Association (EVCA)
  
• Financial Times: Investing Data & Tools
  
• Futures Industry Magazine
  
• Plunkett Research: Banking, Mortgages & Credit
  
• Registered Financial Planners Institute
  
• Trade Show News Network
  

Hedge Fund Management Industry Terminology

• Forbes Financial Glossary