This is interresting pwc report on crypto hedge funds:
Introduction to Crypto Hedge Fund report
Size of the Market and AuM:
• We estimate that there are 150 active crypto hedge funds
collectively managing US$1bn AuM (excluding crypto
index funds and crypto venture capital funds) 1
• Over 60% of these funds have less than US$10m in AuM
with fewer than 10% managing over US$50m
• The average crypto hedge fund AuM as of Q1 2019 is
US$21.9 million
• The median AuM of funds as of Q1 2019 (US$4.3m) is 3X
that of the median AuM at fund launch (US$1.2m -
January 2018), which indicates that funds have been
relatively successful at fundraising despite difficult market
conditions
Fund Strategy and Location:
• 36% of funds surveyed use or can use leverage and 74%
can take short positions
• Of the funds surveyed, 44% pursue discretionary
strategies, 37% quant and 19% fundamental
• Funds tend to be domiciled in the same jurisdictions as
traditional hedge funds, with the top three jurisdictions for
the fund entity being the Cayman Islands (55%), the
United States (17%) and the British Virgin Islands (BVI)
(13%)
• The majority of crypto hedge fund managers tend to be
based in the United States (64%)
Experience and Governance:
• 52% of funds use an independent custodian, yet only 25%
have independent directors on their board
• The average size of fund team is 7-8 people
• Typical crypto fund investment professionals have
between 3-4 years of investment management experience
Performance and Fees:
• The median fund returned -46% in 2018 vs a Bitcoin
benchmark of -72%
• In 2018, the median fundamental fund returned -53%,
discretionary fund -63% and quant fund +8%
• The average fees for crypto hedge funds are 1.72%
management fee and 23.5% performance fee
the facts