Increased Pension Fund Allocation And Geopolitical Volatility To Drive Hedge Funds Above $5 Trillion Mark By 2030


(MENAFN- EIN Presswire)

With Intelligence 2025 Hedge Fund Outlook Charts the Major Trends Driving Alternative Asset Management Industry

There will be volatility, and-after proving their maturity and risk mitigation chops during recent periods of heightened volatility-hedge funds are likely to be a beneficiary of that trend.” - Paul McMillan, research lead at With Intelligence

LONDON, UNITED KINGDOM, January 8, 2025 /EINPresswire / -- A perfect storm of geopolitical volatility, multi-strategy expansion, new fund launches, and risk mitigation strategies by institutional investors will help the global hedge fund industry top $5 trillion in assets under management by 2030. That is the base case projection from With Intelligence , the leading provider of investment intelligence for alternative assets, private markets, and public funds, in its Hedge Fund Outlook 2025 . The new report tracks the major trends driving hedge fund investment in 2025 and beyond.

“It can be difficult to make market predictions at this time of year-especially in a year where so many major changes are in play across geopolitical, technological, and macroeconomic spheres,” said Paul McMillan, research lead at With Intelligence.“What we do know for sure as we look at the next twelve months through the lens of the hedge fund industry is that there will be volatility, and-after proving their maturity and risk mitigation chops during recent periods of heightened volatility-hedge funds are likely to be a beneficiary of that trend.”

Following are some of the highlights in the With Intelligence Hedge Fund Outlook 2025:

.Hedge Fund Assets on Track to Top $5 Trillion by 2030: Total hedge fund assets under management reached $4.1 trillion in 2024, and at their current growth rate, will reach the $5 trillion mark by 2028 and $5.5 trillion by 2030. However, if several notable tailwinds continue, the sector could reach $6.3 trillion by the end of this decade.

.Big Pension Funds Warm to Hedge Funds: Hedge funds proved their risk mitigation qualities in the big equity and fixed-income drawdowns of 2022 and have since emerged as a preferred risk mitigation strategy for a large number of major pension funds. CalPERS and Ohio PERS are among the major funds building out sleeves for hedge fund-focused risk mitigation strategies in the year ahead. With Intelligence research finds that 36% of institutional allocators with oversight of hedge funds will commit new capital, and 43% will invest opportunistically.

.Multi-Manager, Multi-Asset Strategies Create New Opportunities: The expanded use of multi-manager and multi-asset strategies will continue to drive hedge fund allocation to external managers, creating opportunities for new funds to grow. According to With Intelligence research, the largest multi-strategy funds deployed some $20 billion in assets to more than 50 third-party managers through the first half of 2024. That trend is expected to continue throughout 2025.

.Event-Driven Strategies in the Spotlight: From the Trump presidency to central bank rate cuts to deregulation to commodity price swings, there is no shortage of macro events that could drive massive market moves in 2025. This increased volatility will generate more opportunities for macro, relative value, and event-driven funds in particular, while equity strategies may have to work harder.

To access the full With Intelligence Hedge Fund Outlook 2025, please click here .

About With Intelligence
With Intelligence was founded in 1998 and is a leading provider of investment intelligence for allocating decisions, fund-raising, deal origination and business development. Bringing together some of the most reputable brands in investment information, With Intelligence's proprietary solution was launched in 2021 and is already regarded as a superior investment intelligence service.

The global team includes data scientists, analysts, technologists, developers, and industry experts – all obsessed with revealing the bigger picture of the asset management industry. The business delivers a unique blend of data that includes profiles, fund information, performance metrics, and our valuable analyst perspectives. With Intelligence's data, insight, and responsive platform combine to help investment professionals to connect with the right people, intelligence, and opportunities.

For more information on With Intelligence, or to arrange a demo or request a trial, please visit

John Roderick
+1 631-584-2200
email us here
J. Roderick, Inc.

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.

MENAFN08012025003118003196ID1109066922


EIN Presswire

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.

Newsletter