Hedge Funds - Institutional | BlackRock (2024)

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Past performance is not a guide to future performance. The value of investments and the income from them can fall as well as rise and is not guaranteed. You may not get back the amount originally invested. Changes in the rates of exchange between currencies may cause the value of investments to diminish or increase. Fluctuation may be particularly marked in the case of a higher volatility fund and the value of an investment may fall suddenly and substantially. Levels and basis of taxation may change from time to time.

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The data reflects information and figures as at Today -2. The data and figures are not audited. Do not make any investment decisions based on these figures as they are subject to change. Past performance is not a guide to future performance. The value of investments and the income from them can fall as well as rise and is not guaranteed. You may not get back the amount originally invested. Changes in the rates of exchange between currencies may cause the value of investments to diminish or increase. Fluctuation may be particularly marked in the case of a higher volatility fund and the value of an investment may fall suddenly and substantially. Levels and basis of taxation may change from time to time.

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Hedge Funds - Institutional | BlackRock (2024)

FAQs

Are hedge funds institutional? ›

An institutional investor is a company or organization that invests money on behalf of clients or members. Hedge funds, mutual funds, and endowments are examples of institutional investors.

What type of institution is a hedge fund? ›

A hedge fund is a limited partnership of private investors whose money is pooled and managed by professional fund managers. These managers use a wide range of strategies, including leverage (borrowed money) and the trading of non-traditional assets, to earn above-average investment returns.

What is an example of an institutional investor? ›

Institutional investors include the following organizations: credit unions, banks, large funds such as a mutual or hedge fund, venture capital funds, insurance companies, and pension funds. Institutional investors exert a significant influence on the market, both in a positive and negative way.

Is BlackRock a hedge fund? ›

BlackRock manages US$38bn across a broad range of hedge fund strategies. With over 20 years of proven experience, the depth and breadth of our platform has evolved into a comprehensive toolkit of 30+ strategies.

What is the difference between institutional and hedge funds? ›

The main difference between hedge funds and traditional institutional asset management is that hedge funds focus on absolute returns, whereas money managers focus on relative returns. It has little to do with investing styles – for example, you'll see deep value investors at both types of firms.

What is the difference between institutional fund and hedge fund? ›

Thus, institutional fund managers can provide a range of options in mutual funds, catering to both retail and institutional investors. Whereas, hedge funds target high net worth investors who must meet specific accredited characteristics to participate in these funds.

Is BlackRock a hedge fund or private equity? ›

BlackRock offers a range of and integrated alternative solutions, including hedge funds, private credit, private equity, real estate and infrastructure.

Why are hedge fund managers so rich? ›

Hedge fund managers typically earn above-average compensation, often from a two-and-twenty fee structure. Hedge fund managers typically specialize in a particular investment strategy that they then use to power their fund portfolio's mandate for profits.

Is BlackRock a hedge fund or asset manager? ›

BlackRock, Inc. is an American multinational investment company. It is the world's largest asset manager, with $10 trillion in assets under management as of December 31, 2023.

What are the top 5 institutional investors? ›

Managers ranked by total worldwide institutional assets under management
#Name2021
1Vanguard Group$5,407,000
2BlackRock$5,694,077
3State Street Global$2,905,408
4Fidelity Investments$2,032,626
6 more rows

Who are the three largest institutional investors? ›

Within the world of corporate governance, there has hardly been a more important recent development than the rise of the 'Big Three' asset managers—Vanguard, State Street Global Advisors, and BlackRock.

Who are the big three institutional investors? ›

The “Big Three” institutional investors, BlackRock, State Street Global Advisors and Vanguard, have significant influence on the environmental, social and governance (ESG) policies and related disclosure for public companies.

What is the biggest hedge fund in the world? ›

Bridgewater Associates

Westport, Conn. Westport, Conn. In 1975, Bridgewater Associates was founded by Ray Dalio in his Manhattan apartment. Today Bridgewater is the largest hedge fund in the world and Dalio has a personal fortune of approximately $19 billion.

What is the most successful hedge fund of all time? ›

Citadel, which ranked second in 2023, made $8.1 billion in profits after bringing in a record-breaking $16 billion in 2022. Its $74 billion in gains since inception rank it as the most successful hedge fund in history.

Are ETFs considered hedge funds? ›

A hedge fund ETF is an exchange-traded fund that seeks to replicate the trading activity and investment strategy of a traditional hedge fund. Exchange-traded funds are essentially a pooled investment similar to a mutual fund but with one key difference.

What is an institutional fund? ›

An institutional fund is an investment fund with assets held exclusively by institutional investors. Institutional funds exist because large institutions have different needs than smaller investors.

Are hedge funds open to institutional investors? ›

You generally must be an accredited investor, which means having a minimum level of income or assets, to invest in hedge funds. Typical investors include institutional investors, such as pension funds and insurance companies, and wealthy individuals.

What is considered an institutional client? ›

Institutional Client means Legal Person (for example, companies, government entities, non-profit organizations, endowment funds, etc.

What is the difference between funds and institutions? ›

Mutual funds are primarily retail products, which gather assets from vast numbers of individuals who have limited balances to invest. Institutional accounts gather assets from a limited number of clients who have millions or even billions of dollars to invest.

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