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MARKET MOVES

Stock-picking, multi-manager hedge funds attract more capital from investors in 2026, BofA says

·Economic Times·Impact 3/5 · Notable

Hedge funds are attracting more capital from investors in 2026, according to Bank of America. This marks a shift from a three-year trend of stagnation in the industry. The increased interest is largely driven by the impressive performance of hedge funds in the artificial intelligence sector. As a result, investors are gravitating towards these funds as their asset class of choice for 2026, which could have significant implications for markets and the economy.

Read the source report: Economic Times →

Why it matters

Hedge funds are attracting more capital from investors, which could lead to an increase in their assets under management. This could be a positive trend for the hedge fund industry.

Market impact

Impact score
3 / 5
Market signal
Positive / risk-on
Category
Market moves
Model confidence
50%

Transmission channels

Capital inflowsHedge fund growthAlternative investment boostInvestor confidence increase

Likely winners & losers

Winners

  • Hedge funds
  • Alternative investments

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MeridStreet does not reproduce source articles. The summary and analysis above are generated by MeridStreet from public headlines and its own market model; the original reporting belongs to Economic Times. For information only — not financial advice.