Key Takeaways
- • EY's 16th annual Global Alternative Fund Survey (2022) fielded responses from 226 alternative fund managers and 61 institutional investors between May and August 2022, conducted in collaboration with Coalition, providing comprehensive market insights across the alternative investment landscape.
- • The survey reveals substantial investor appetite for alternative fund allocations, with established managers particularly well-positioned to capitalize on institutional demand despite market headwinds in 2022.
- • Talent management emerged as a top-five priority for alternative fund managers, reflecting competitive pressures in recruitment and retention within the sector.
- • The annual survey tracks institutional investor views on current and future growth trajectories, asset allocation strategies, and manager positioning across hedge funds, private equity, and other alternative strategies.
- • Results demonstrate ongoing institutional commitment to alternative investments despite macroeconomic volatility in 2022, with managers adapting product offerings and operational strategies to meet evolving investor needs.
Summary
The 2022 findings reveal significant institutional appetite for alternative fund investments, with the survey showing that investors maintained conviction in alternative strategies despite considerable macroeconomic uncertainty throughout the year. Established managers, in particular, demonstrated stronger positioning to attract and retain capital during this volatile period. The research underscores that larger, more established alternative fund managers benefited from institutional confidence and demonstrated operational resilience compared to smaller or newer entrants to the market.
A critical finding from the 2022 survey identifies talent management as among the top five strategic priorities for alternative fund managers. This reflects intense competition for qualified personnel in a sector where investment expertise, risk management capabilities, and operational talent are essential competitive differentiators. Managers reported heightened focus on recruitment, compensation strategies, and retention initiatives as they navigated both market challenges and labor market tightness during 2022.
The survey results highlight that institutional allocators remain committed to alternative investment strategies, actively assessing capital deployment opportunities, future growth prospects, and optimal asset allocation weightings. The data captures manager and investor perspectives on how alternative strategies are expected to perform and evolve in subsequent market cycles, providing a forward-looking benchmark for the sector's trajectory beyond 2022.
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