Hedge funds that locked up clients’ money last year have started paying out cash earlier than many had planned, in a move that could free tens of billions of dollars – and threatens another wave of hedge fund share and bond sales. The repayments follow anger from investors at the decision of hundreds, perhaps thousands, of hedge funds to suspend withdrawals, impose “gates” limiting withdrawals or create “side pockets”, which pay out only when assets can be sold.

This entry was posted by Gwen Robinson on Wednesday, March 18th, 2009 at 4:58 and is filed under Capital markets, Hedge funds. Edit this entry.