Deals
Perry’s Retreat Piles Pressure on Hedge Funds Chasing Deals
- Investors pull $31 billion from event-driven hedge funds
- Returns from deals-focused money managers lag industry peers
Ellis: Active Management Has Been Incredibly Hard Work
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Hedge fund veteran Richard Perry’s decision to quit after almost three decades betting on the success or failure of mergers and acquisitions couldn’t have come at a worse time for money managers following comparable strategies.
Event-driven hedge funds speculating on corporate deals and restructurings are falling out of fashion, with investors withdrawing $31 billion from managers this year, the most of any hedge-fund strategy, according to data from industry tracker eVestment, and more funds are closing than opening.