>Hedge funds aim at bird in the hand
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With raising assets becoming more difficult, hedge funds need to focus on retention. Funds need to realize that institutions of all sizes have suffered losses and are scrutinizing all of their managers. The spectrum of communications, including investor letters, meeting with investors, and media relations need to be stepped up as part of a broader effort to compete for allocations.
Investors need more detail of how funds are managing in the current environment, which opportunities they are targeting and why. Some funds are choosing to share more information about specific investments. See previous post.
Hedge funds have always competed aggressively for assets. The battle now is to keep assets from walking out the door.
Pershing Square IV Letter to Investors http://d.scribd.com/ScribdViewer.swf?document_id=11969074&access_key=key-24pm1ybdaig1qcgvivsr&page=1&version=1&viewMode=list