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“Rats Flee Sinking Ships” – Hedge Fund Withdrawals Reach 7-Year High

September 4th, 2007 by Stephen Roman

Dealbreaker for headline and link:

Hedge funds, which have an estimated $1.9 trillion in assets combined, saw investors sell off an estimated $32 billion worth in July, said a report Tuesday.

The outflow was the largest since 2000, according to a monthly report by TrimTabs, an investment research firm. The August outflow could be even greater, the firm said, although complete data is not yet available.

Funds of hedge funds posted some of the biggest outflows, with investors selling $55 billion in assets in July. Through the end of June, funds of hedge funds had posted 2007 net inflows of $162 billion.

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