At the same time, hedge funds will increasingly be held accountable for their social and environmental impact. Investors will demand greater transparency and alignment with their values, pushing hedge funds to adopt more responsible investment practices. The integration of ESG will not only be a moral imperative but also a competitive advantage, as funds that prioritise sustainability are likely to attract more capital and deliver better long-term performance.
In quantitative terms, the hedge fund industry’s assets under management are expected to grow steadily, reaching $4.3 trillion by 2025. While this growth rate may be slower than other alternative assets, it reflects the ongoing relevance of hedge funds in a diverse investment portfolio.
At the same time, hedge funds will increasingly be held accountable for their social and environmental impact. Investors will demand greater transparency and alignment with their values, pushing hedge funds to adopt more responsible investment practices. The integration of ESG will not only be a moral imperative but also a competitive advantage, as funds that prioritise sustainability are likely to attract more capital and deliver better long-term performance.
In quantitative terms, the hedge fund industry’s assets under management are expected to grow steadily, reaching $4.3 trillion by 2025. While this growth rate may be slower than other alternative assets, it reflects the ongoing relevance of hedge funds in a diverse investment portfolio.