IE Staff
Roughly one in five hedge funds were invested in digital assets earlier this year, with more managers planning to try their luck with crypto, according to a new survey.
The Alternative Investment Management Association (AIMA), PwC and Elwood Asset Management released their latest report on hedge funds and digital assets after surveying fund managers. The survey covered 39 global funds managing roughly US$180 billion in the first quarter of this year (all values below are in U.S. dollars).
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Bitcoin’s value soared last year, boosting the assets of crypto hedge funds from $2 billion to $3.8 billion. While the median return in 2020 among crypto hedge funds was 128% (compared to 30% in 2019), discretionary long-only funds performed best with a median return of 294%, the report said. Hedge funds with quantitative strategies — the most common, representing 37% of crypto funds — had a median return of 72%.