Hedge funds grew about 4.2% in the third quarter, a slower pace than earlier in the year, Tremont Capital Management Inc. said on Thursday.
The industry attracted $25.1 billion during the quarter, after drawing $43.3 billion and $38.2 billion, respectively, in the first and second quarters. Asset growth for the first three quarters of $106.6 billion more than doubled the growth pace of the year earlier, Tremont said.
Hedge funds gained $24.6 billion in the third quarter of 2003 and $45.4 billion for the first nine months, Tremont said.
It monitors about $615.4 billion of hedge fund assets for its analysis of fund flows. Tremont estimated the global industry's asset base at about $890 billion, plus $265 billion estimated to be in privately managed accounts.
