Hedge Fund Deleveraging Over

Summary


LONDON (Reuters) - The current wave of hedge fund deleveraging is over and the industry is set to see few further fund collapses, although some funds may yet suspend investor redemptions, a senior executive at HSBC Halbis said.

The spike in market volatility since the credit crisis began last year has been attributed in part to hedge funds rushing to reduce leverage. This has been triggered by their own caution, by the need for investor redemptions, or because of pressure from prime brokers who provide financing for trading and settlement of trades.

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Hedge Fund Deleveraging Over

However, speaking at the Reuters Hedge Fund & Private Equity Summit in London, Bill Maldonado, HSBC Halbis Capital Management's head of alter...

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