Sector Insights

The Alpha Game  

Executive Perspective

January 2015

The coming years look strong for the hedge fund industry. Still, they face challenges from multiple angles. Meeting investor expections, responding to regulatory demands and staying ahead of competitors will top the list.   

George Sullivan, head of our Alternative Investment Solutions group, talks about the main themes from our research.

Watch the videos:

The Evolution of Alternatives

How Hedge Funds are Changing

A Potential Disruptor: Basel III

A Potential Disruptor: Liquid Alternatives

 

About the Research

This report is based on the findings of a State Street survey of 235 hedge fund executives conducted in October 2014 by Citigate Dewe Rogerson. The survey asked respondents to make a set of five-year predictions for the industry regarding business strategies, expected flows, operations and regulations. Just more than half (57 percent) of the respondents were based in North America, a third (32 percent) came from Europe and the remainder (11 percent) were from the Asia-Pacific region. Just under three-quarters of the respondents (72 percent) represented funds with assets of up to $1 billion, a fifth of respondents were at funds with between $1 billion and $10 billion, and 8 percent came from funds with more than $10 billion of assets.