The flow of new capital from Asian investors into hedge funds is broadening, with growing calls to reassess traditional equity- and bond-focused allocations.
Hedge funds are attracting new capital from Asian investors, as demand grows for diversification from volatile bond markets, geopolitical uncertainty and increasing concentration in AI stocks. More investors are seeking flexible management in unstable market conditions and looking to increase their allocation to alternative investments as an alternative to the traditional 60/40 allocation.
Reports indicate that the proportion of clients at Asia-based asset managers such as UBP with dedicated hedge fund accounts has more than tripled since the end of 2024, strengthening the role of hedge funds as part of long-term asset allocations.