- Advertisement -
- Advertisement -

Related

Investors Screen Hedge Funds with Social Media Checks

Latest Report

- Advertisement -

Stockholm (HedgeNordic) – Pre-investment background checks can represent an essential part of the due diligence process before entrusting fund managers with capital. And social media appears to have become the perfect place to begin background investigations on hedge fund and private equity vehicles.

According to a survey conducted by Corgentum Consulting, 62 percent of surveyed investors and operational due diligence analysts searched social media platforms such as Facebook, LinkedIn, Twitter and Instagram within the past year as part of the pre-investment background investigation process. The searches were conducted on the social media activities of the fund management company, as well as individual employees.

Around 38 percent of respondents stated that they uncovered at least one negative item during the social media searches that was overlooked during more traditional investigations. Additionally, 73 percent of respondents indicated that they would benefit from increasing the ongoing social media monitoring of fund managers during the post-commitment period.

“Investors increasingly want background investigations that dive deeper into the digital profiles of fund managers and their personnel,” said Jason Scharfman, Managing Partner of Corgentum Consulting. “The focus is now on building a complete online and offline picture of the potential reputational risks involved with an investment. As a result, investors are increasingly integrating investigations into their larger due diligence and risk management frameworks.”

Photo by William Iven on Unsplash

Subscribe to HedgeBrev, HedgeNordic’s weekly newsletter, and never miss the latest news!

Our newsletter is sent once a week, every Friday.

Eugeniu Guzun
Eugeniu Guzun
Eugeniu Guzun serves as a data analyst responsible for maintaining and gatekeeping the Nordic Hedge Index, and as a journalist covering the Nordic hedge fund industry for HedgeNordic. Eugeniu completed his Master’s degree at the Stockholm School of Economics in 2018. Write to Eugeniu Guzun at eugene@hedgenordic.com

Latest Articles

Elementa Tops Swedish Hedge Fund Universe in H1

After celebrating its ten-year anniversary in March, long/short equity fund Elementa closed the first half of 2025 as the best-performing Swedish hedge fund, delivering...

Asgard Winds Down Macro Strategy, Refocuses on Fixed Income

Less than a year after the launch of Asgard-Steno Global Macro Fund – a collaborative effort between macro strategist Andreas Steno Larsen and fixed-income...

Eric Strand’s Green-Gold 60/40 Alternative Roars Back to Life

After a two-and-a-half-year drought, including a rough start to 2025, AuAg Precious Green has taken off in recent months. The fund, Eric Strand’s innovative...

BNY Debuts Tail-Risk Overlay Fund

BNY Investments Newton, the specialist multi-asset and equity management arm of BNY Mellon, has launched the BNY Adaptive Risk Overlay Fund – a tail-hedging...

Taiga Fund Delivers Best First Half Since 2019

Usually operating under the radar, Norwegian long/short equity vehicle Taiga Fund delivered one of its strongest first-half performances to date – its best since...

Quirky Questions for Harold De Boer (Transtrend)

Not every conversation in the hedge fund world needs to revolve around alpha, trend signals, or trading models. In HedgeNordic’s Quirky Questions series, we ask industry...

Allocator Interviews

In-Depth: High Yield

Voices

Request for Proposal

- Advertisement -
HedgeNordic
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.