Hedge Funds Shift Investment and Business Strategies in Next 12 Months

Geopolitical and economic factors may be behind a potentially significant shift in hedge fund investment and business strategy, including increased fundraising activity and diversification, according to a survey by Dynamo Software, a Bulgarian cloud software provider for the alternative investment management sector.

Dynamo’s survey reveals that a much higher number of hedge funds – as compared to the overall GP marketplace – expect to see bigger fundraising efforts, with more than half (55%) of those surveyed saying they expect to increase fundraising activities moving into 2025.

Just 30% of the overall GP community said the same when they were surveyed by Dynamo at the beginning of 2024.

In terms of investment allocations, nearly half (45%) of hedge fund participants are planning to diversify across multiple asset classes over the next 12 months, compared with just 25% of the overall GP sector including diversification in their investment strategies over the coming year.

Read the rest of the article at Hedgeweek here.