1. The strongest brands will see the highest investor flows.
The Agecroft Partners report says that brands will matter more in the coming year, as investors will look beyond just the largest funds for money management options. Offering a high quality fund, clearly articulating the unique advantages of investment, and showing strong market penetration will get a fund ahead with investors.
2. Many new investors will be out of luck.
Since a large number of investor assets are flowing into a small percentage of hedge funds, many of these funds have reached the capacity they’ve identified as the optimum asset levels for return potential. This means that new money will be off the table, especially from those trying their luck in the hedge fund world for the first time.