Morgan Stanley Sees More Seeding Deals for Asian Hedge Funds

More institutions and wealthy individuals are looking to provide startup and expansion capital to profit from new Asian hedge funds and help them expand, Morgan Stanley prime brokers said.

The New York-based bank is helping negotiate several opportunities for investors to give money to new hedge funds for a share of their fee revenue and deals in which they will provide capital to expand assets across Asia, said Hugh Abdullah, its Hong Kong-based head of capital introductions in the region. In demand are event-driven funds and equity long-short managers who bet on rising and falling stocks, he said.