Asia Hedge fund performance blips

...the recent turmoil in Asian stock markets, which has seen shares in Shanghai, for example, halved in value in six months, does seem to have unnerved some investors in Asia-focused funds.

The first three months of the year were pretty grim, according to figures from Hedge Fund Research published last week. Total Asian hedge fund assets dropped by 10 per cent to $100.3 billion in the first quarter of 2008 compared with $111.4 billion under management at the end of last year.

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Big established players are getting most of that money. "There's almost nothing coming into the small guys and the newest managers," he says, adding that macro, commodity and multi-strategy funds are in demand. "There's little coming into long-short equity funds."