Long and Short of It: Hedge Funds Show Strong Risk-Adjusted Performance

The Maples Group conducted a review of its hedge fund administration clients with at least US$100 million in assets under management for a three-year period ending first-quarter 2023. Among the biggest takeaways: investor flows into hedge funds during that time were net positive, even despite overall investor outflows in 2022. Moreover, the composite return of the hedge funds delivered double-digit annualised returns for the three-year period with less than half the volatility of equities and provided higher absolute and risk-adjusted returns during the volatile period of 2022.