Although 2012 was a challenging year, the Asian hedge fund industry had much to celebrate. Leading the way with $9.3 billion in assets, Value Partners again took the No. 1 spot in the Asia Hedge Fund 25, Institutional Investor’s Alpha’s annual ranking of the region’s biggest single-manager hedge fund firms. Focused on Greater China and pursuing new clients in Europe and the U.S., Hong Kong–based Value Partners boosted its assets almost 20 percent in the 12 months ended April 1. During the same period, total assets managed by the Asia Hedge Fund 25 grew more than 11 percent, to $51.9 billion.
For much of last year, Asian hedge fund managers contended with macroeconomic events such as the ongoing European crisis and the leadership change in China, as well as tepid investor interest. But the Japanese election sparked a late rally that helped them outperform their global peers. That event may also herald Tokyo’s recovery as a hedge fund center by improving the fortunes of firms like $7.1 billion Sparx Group Co. (No. 3). Meanwhile, China is on the rise. Beijing-based Hillhouse Capital Management and Shanghai’s Greenwoods Asset Management Co. ranked No. 2 and No. 5, respectively, the first time that two mainland China managers have made the top five.
How the Ranking Was Compiled
In Institutional Investor's Alpha’s 2013 Asia Hedge Fund 25, our eighth annual ranking of Asia’s biggest single-manager hedge fund firms, we provide each manager’s total capital for 2013 and 2012 as of April 1 and April 2, respectively. Where possible we also show capital at the individual fund level, with net 2012 and first-quarter 2013 returns, as well as fund inception dates.
Asset totals reflect a firm’s internally run single-manager funds and separate accounts, including actively managed long-only hedge funds. Totals exclude funds of funds, funds managed by third parties, dynamic money market funds, private equity and venture capital. Assets in managed-futures accounts are stated as actual (cash) rather than nominal (trading level) values, unless otherwise noted. Assets run anywhere in the world are included, as long as the firm is wholly owned by a parent company that is headquartered in Asia.
We gathered data through questionnaires completed by hedge fund managers, supplemented by II staff research. In some cases asset totals or returns represent our estimates.
Senior Editor Jane B. Kenney compiled the ranking with the assistance of Hong Kong–based Researcher Serina To. To request a questionnaire for next year’s Asia Hedge Fund 25 ranking, please e-mail your contact details to hedgefundrankings@iimagazine.com.