Liquid Alternatives News

Hedge funds are dialling down risk and pulling back from aggressive positioning as the shock of sweeping new US tariffs ripples through global markets, leaving even seasoned managers questioning whether it’s time to sit on the sidelines, according to a report by Bloomberg.

A sharp global equity sell-off triggered by the Trump administration’s latest tariff announcement has dealt a heavy blow to equity long-short hedge funds, wiping out their gains for the year in a single session, according to a report by Reuters.

Hedge funds moved swiftly to offload stocks and reduce leveraged positions across Asian markets last week, positioning defensively ahead of US President Donald Trump’s reciprocal tariff announcement on 2 April, according to a report by Reuters citing data from Morgan Stanley.

Brevan Howard Asset Management is revamping its fee structure to incentivise longer capital commitments from investors in its flagship hedge fund, as the firm navigates its most challenging start to a year in over two decades, according to a report by Bloomberg.

Hedge funds have scaled back risk exposure and reallocated capital in anticipation of US President Donald Trump’s expected tariff announcement on 2 April, according to a report by Reuters citing data from the prime brokerage division at Goldman Sachs.

Multi-strategy hedge fund Verition Fund Management has parted ways with at least four investment professionals across its global offices in recent weeks, as part of a broader effort to refine its trading teams, according to a report by eFinancial Careers.

Bridgewater Associates, one of the world’s largest hedge funds, saw its assets under management (AUM) decline by 18.1% in 2024, falling to $92.1bn, according to a recent regulatory filing, as the firm deliberately reduced the size of its flagship fund, according to a report by Reuters.

Hedge funds offloaded technology stocks at the fastest pace in six months last week, with selling activity reaching a five-year high, according to a report by Reuters citing data from the prime brokerage division at Goldman Sachs.

South Korean regulator the Financial Services Commission (FSC) is set to lift its 17-month ban on short selling next week, a move that market participants believe will enhance liquidity, attract global hedge funds, and bolster the country’s case for an MSCI upgrade to developed market status, according to a report by Bloomberg.

Hedge funds are snapping up economically sensitive stocks, betting on a rebound after recent selloffs driven by tariff-related recession fears in the US market, according to a report by Bloomberg citing data from the prime brokerage unit at Goldman Sachs.

Hedge fund Starboard Value has reignited its proxy battle with Autodesk, nominating three director candidates to the engineering and design software maker’s board, including Chief Executive Officer and Founder Jeff Smith, according to a report by Bloomberg.

US activist hedge fund firm Elliott Investment Management has built an £850m short position against Shell, marking the largest disclosed wager against the FTSE 100 oil giant in nearly a decade, according to a report by The Times.

Balyasny Asset Management (BAM) has secured another high-profile hire, bringing on Citadel trader David Brodsky with a compensation package worth up to $50 million, according to a report by Bloomberg citing sources familiar with the matter.