hedge fund control: Rules of the game

The hedge fund industry may have pulled in record sums last year - some $126.5bn, up from $46.5bn in 2005, according to Hedge Fund Research. But much of this will have come from institutional investors, such as pension funds and insurers. That is both an opportunity and a challenge for the industry. Institutional investors aren’t solely concerned with performance. They also pay close attention to operational issues, such as a fund manager’s approach to risk management and asset valuation. And w...