- Advertisement -
- Advertisement -

Related

Increasing Hedge Fund Appetite Among Nordic Investors

Latest Report

- Advertisement -

Most Nordic institutional investors have exposure to alternative asset classes, including private equity, private debt, and hedge funds. According to a survey by RBC BlueBay of 450 asset owners globally – including 50 from the Nordics – approximately 58 percent of Nordic respondents are invested in hedge funds. They also stand out as the most eager among European investors to increase their hedge fund allocations, with 69 percent planning to do so.

“Looking back, we’ve certainly seen a growth in Nordic investor appetite for alternatives, with allocations rising from approximately 5-10 percent to 20-25 percent of overall portfolios,” says Annica Woronowicz, Head of Nordics at RBC BlueBay. “While domestic real estate and private equity strategies have historically proved most popular, we have in recent years seen a greater willingness amongst investors to consider other sub-asset classes within the universe.”

With average allocations of 7.1 percent – compared to 5.9 percent globally – Nordic investors maintain a relatively high exposure to hedge funds. They are also twice as likely as their global peers (28 percent versus 13 percent) to report allocations exceeding 10 percent. This strong interest is expected to continue, as Nordic investors are the most enthusiastic in Europe about increasing their hedge fund exposure, with 69 percent planning to do so versus 61 percent across Europe.

“In the case of hedge funds specifically, this has been an unloved and under-owned area for the region for some time, mainly due to underperformance.”

“In the case of hedge funds specifically, this has been an unloved and under-owned area for the region for some time, mainly due to underperformance. However, we now see higher interest rates and greater levels of volatility as positive forces driving renewed investor interest,” notes Woronowicz. The survey also found that only 3 percent of Nordic investors expect to reduce their hedge fund exposure, half the proportion of their European counterparts at 6 percent.

The resurgence of market volatility so far in 2025 – fueled by geopolitical tensions and trade disputes – has prompted many institutional investors in the region to adopt a “wait and see” approach, according to Woronowicz. “There’s growing acceptance that the current environment may require a new approach to portfolio construction, highlighting the importance of diversification and active management.” 

The global survey from RBC BlueBay can be accessed here.

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

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...

Mapping the Finnish Hedge Fund Landscape

Beyond operating as a media platform, HedgeNordic maintains an extensive database of Nordic hedge funds and related data. Although the data is not without...

Quirky Questions for Serge Houles (Tidan Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

Quirky Questions for Mette Østerbye Vejen (Caba Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

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.