Key insights on hedge funds – 2024 shifts and 2025 outlook
Traditional strategies are underperforming (4.0% vs. 4.5% for basic stock/bond mixes), and 86% of funds adopting AI are seeing no performance boost.
Our report examines the key shifts that shaped 2024 and provides a forward-looking view into 2025, including how 49% of funds are moving into private markets.
Download now to stay ahead.
Why you can’t miss this report
The hedge fund industry is changing significantly, with private markets gaining traction and new global hubs challenging traditional power centres. But why is the gap widening between large firms and mid-sized funds? This shift is pushing a reassessment of value, strategy and performance expectations. After reading our white paper, you’ll understand why:
The traditional model is breaking down – hedge funds are increasingly correlating with equity markets, and over the past 15 years, they've struggled to outperform basic stock/bond strategies (4.0% vs. 4.5%)
Investors are demanding more – the rise of ‘cash hurdles’ and longer due diligence processes (6-8 months) indicates investors are exercising more control and scrutiny
Private markets are on the rise – nearly 50% of funds are considering private markets, searching for new ways to generate alpha beyond traditional strategies
AI is not delivering – despite 86% adoption, AI tools have yet to prove their value in generating alpha, focusing more on operational efficiency instead
Success is bifurcating – the top 20 firms now generate 33% of profits while managing under 20% of assets, leaving mid-sized funds struggling to survive
Why it matters:
This identity crisis is forcing a complete rethinking of the hedge fund model. As performance expectations evolve and pressure mounts, success will require more than just traditional strategies. A flexible, hybrid approach will be key to thriving in this new era.
Download the full report to get a deeper understanding of these trends and how they’ll impact the hedge fund industry moving forward:
Contact us
Let us create a solution tailored for your needs. Get in touch with our team by phone or email to discuss your objectives, or request a brochure.
CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved.
This website is owned and operated by IG Bank S.A. Registered address at 42 Rue du Rhone, 1204 Geneva, authorised and regulated by FINMA.
The information on this site is not directed at residents of the United States and Belgium, or any particular country outside Switzerland and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Tel: +41 (0)58 810 77 52
Email: prime@igbank.ch