FOR IMMEDIATE RELEASE
Managed Futures Top $131 Billion
Money Under Management Nearly Doubles in 18 Months
Fairfield, Iowa, Feb. 3, 2005 -- The Barclay Group reported today that money under management in managed futures climbed to a record $131.9 billion during the 4th quarter of 2004. Barclay is a leading provider of managed futures and hedge fund data.
"I find it significant that money under management continued to climb even with below average returns in 2004," says Sol Waksman, president of The Barclay Group. "The Barclay CTA Index was up just 3.28 percent, versus its long-term average of 13.58 percent. We're seeing more sophisticated investors in managed futures now. They're not chasing returns. They're willing to sit tight during periods of underperformance."
Barclay's figures show money under management increased by $45.4 billion during 2004, up 52 percent in one year from $86.5 billion, and nearly double the $66.5 billion in Q2 of 2003. Barclay data shows $24.9 billion under management in 1994, and just $770 million in 1984.
"Investors are recognizing the value of broader diversification in their portfolios," says Ed Kassakian, President Emeritus, Calyon Financial. "Their search for investments that have a neutral correlation with traditional stocks and bonds has fueled remarkable growth in the managed futures industry, as Barclay's numbers clearly show."
The Barclay Group, established in 1985, actively tracks more than 4,100 hedge funds and managed futures programs. Barclay/Global HedgeSource Hedge Fund Indices are utilized worldwide as performance benchmarks for the hedge fund industry.
Click here to view Barclay's Money Under Management data from 1980-2004.