KNOWLEDGE CENTER

Knowledge Center Archive

Dec
15
2007

Five Critical Challenges for Hedge Funds

By SEI Knowledge Partnership

White Paper: Five Critical Challenges for Hedge Funds Taking Aim at the Institutional Market (PDF, 19 pages, 1MB)

Once geared to the needs of high-net-worth individuals and select large endowments, hedge funds are increasingly serving a full range of institutional investors, including:

  • Corporate and public pension funds
  • A broad range of foundations
  • Endowments

The industry is now under pressure to adapt to the high expectations and cautious approach characteristic of institutional investors, while preserving the investment attributes institutions found appealing in the first place.

SEI analyzed industry trends and sponsored a survey of more than 100 institutional investors and our comprehensive review of the hedge fund industry gives you the insights you won’t find anywhere else:

  • What institutions want, and don’t want, from hedge funds
  • The top three concerns institutions have when investing in hedge funds
  • How to overcome the five challenges hedge funds face to be entrusted with a larger share of assets

Our report shows that hedge funds are increasingly serving a full range of institutional investors.  But not only do institutional investors have needs and concerns distinct from those of traditional hedge fund clients, their demands continue to evolve.