(Opalesque) Despite a turbulent 2018 marked by poor performance and market volatility, Institutional investors are swarming to hedge funds this year. According to J.P. Morgan Capital Advisory Group’s 16th annual Institutional Investor survey, investors plan to continue to utilize hedge funds as a primary source of alpha generation in 2019 and to increase their overall asset allocation to hedge funds.
68% of survey respondents indicated their hedge fund portfolio underperformed its target return in spite of poor performance across the hedge fund industry, a stark contrast with 2017.