Singapore have the World’s best Hedge Fund returns

Dec 2019

Singapore, Top 10 Hedge Funds, 2019

Singapore is home to two of the top ten HF in 2019

Vanda Global Fund a small but well-run hedge fund in Singapore is the best performing hedge fund of 2019 with 300% returns.



Quantedge Capital who manage $2.1B are also based in Singapore. With returns of 63.1% in 2019 they are one of the best quant funds in the world.



Singapore is currently home to two of the top ten hedge funds in 2019 and many within the industry are asking why.



Overall Singapore has been successful in 2019. With an average return of 9.4% for clients, Singapore are well ahead of other regions.



North America: 7.6%

Asia: 7.6%

Europe: 6%



The remainder of the top 10 is made up of North American hedge funds. With Singapore’s combined AUM of just $47.3b and North America’s combined AUM sitting at $1.6t it’s not hard to see why experts are scratching their heads as to how this small sovereign island nation is able to play ball with the big boys.





Why have Singapore Hedge Funds been so successful?

Theory 1: The first theory thought up by experts, is that they’re bigger risk takers who are willing to put millions into funds despite massive volatility.



Vanda Fund for example has a giant annualized volatility of 72% in 2017, which still sits above 40% today.



Theory 2: With the illiquidity of Singapore’s stock exchange and lack of natural resources, it has forced “global thinking”. Combine this with a high-pressure education system and many believe that Singapore are producing smarter, data driven graduates who think on a global scale.



Theory 3: Singapore are working with less risk. As mentioned earlier Singapore’s combined AUM is considerably lower than that of North America. North American hedge funds are responsible for pension and sovereign wealth funds, that demand much lower volatility even if this equates to lower profits.

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