Key Takeaways
- • SS&C GlobeOp's Forward Redemption Indicator reached 2.02% in September 2026, up from 1.64% in August but below the 2.21% recorded in September 2025, signaling moderate seasonal pressure on hedge fund allocations.
- • September's redemption rate reflects typical seasonal patterns and remains substantially healthier than historical extremes—well above the April 2026 low of 1.26% but far below the 19.27% peak during the November 2008 financial crisis.
- • SS&C GlobeOp's hedge fund benchmark delivered 0.83% gross returns in September, bringing year-to-date performance to 8.63% and 12-month returns to 14.90%, supporting Bill Stone's assertion that investors continue valuing hedge fund diversification and risk-adjusted returns.
- • The Capital Movement Index reached 133.10 in September, its highest level over the past 12 months, indicating sustained capital flow activity across the SS&C GlobeOp platform despite broader economic and geopolitical headwinds.
- • Redemption notifications, submitted 30–90 days in advance, do not represent final capital departures; subsequent cancellations and varying fund redemption terms mean the indicator provides a leading indicator rather than a definitive capital outflow measurement.
Summary
Hedge fund redemption pressure moderated slightly in September but remained within normal seasonal ranges, according to SS&C GlobeOp's Forward Redemption Indicator released on September 23, 2026. The metric, which tracks actual redemption notices from investors in funds administered by the major fund services provider, climbed to 2.02% from 1.64% in August. This month-over-month increase reflects typical seasonal redemption patterns, though the September reading fell short of the 2.21% recorded in the same month last year, suggesting that redemption activity has moderated year-over-year.
Bill Stone, chairman and chief executive of SS&C Technologies, characterized the September figure as consistent with historical seasonal trends and emphasized that investor confidence in hedge funds remains resilient despite macroeconomic headwinds. "Investors continue to value the diversification and attractive risk-adjusted returns offered by hedge funds," Stone said, positioning the redemption data within a constructive narrative about the asset class's competitive positioning amid economic uncertainty, geopolitical tensions, and elevated market volatility.
The redemption indicator captures forward-looking redemption commitments rather than completed redemptions, as investors typically submit notice 30 to 90 days ahead of actual withdrawal dates. This lead-lag structure means the September reading provides a snapshot of the redemption pipeline but does not necessarily translate into immediate capital departures, given that investors can subsequently cancel redemption requests and redemption terms vary across individual funds. The current 2.02% level sits well above the record low of 1.26% recorded in April 2026 but remains far below the 19.27% peak experienced during November 2008's global financial crisis, anchoring current conditions within a historically benign range.
Complementing the redemption data, SS&C GlobeOp's Hedge Fund Performance Index delivered a gross flash estimate of 0.83% for September, bringing year-to-date gross returns to 8.63% and 12-month returns to 14.90%. The Capital Movement Index, a separate metric tracking capital flows, reached 133.10 in September—its highest level over the trailing 12-month period—suggesting sustained capital movement and positioning activity across the platform. These performance figures underscore why investors continue to allocate to hedge funds despite redemption pressures observed in certain segments.
SS&C GlobeOp's hedge fund indices are derived from aggregated, anonymized data across a broad range of administered funds and represent approximately 10% of estimated global hedge fund assets under management, lending statistical significance to the data as a market proxy. The next Forward Redemption Indicator is scheduled for publication on October 21, 2026.
Bill Stone, chairman and chief executive of SS&C Technologies, characterized the September figure as consistent with historical seasonal trends and emphasized that investor confidence in hedge funds remains resilient despite macroeconomic headwinds. "Investors continue to value the diversification and attractive risk-adjusted returns offered by hedge funds," Stone said, positioning the redemption data within a constructive narrative about the asset class's competitive positioning amid economic uncertainty, geopolitical tensions, and elevated market volatility.
The redemption indicator captures forward-looking redemption commitments rather than completed redemptions, as investors typically submit notice 30 to 90 days ahead of actual withdrawal dates. This lead-lag structure means the September reading provides a snapshot of the redemption pipeline but does not necessarily translate into immediate capital departures, given that investors can subsequently cancel redemption requests and redemption terms vary across individual funds. The current 2.02% level sits well above the record low of 1.26% recorded in April 2026 but remains far below the 19.27% peak experienced during November 2008's global financial crisis, anchoring current conditions within a historically benign range.
Complementing the redemption data, SS&C GlobeOp's Hedge Fund Performance Index delivered a gross flash estimate of 0.83% for September, bringing year-to-date gross returns to 8.63% and 12-month returns to 14.90%. The Capital Movement Index, a separate metric tracking capital flows, reached 133.10 in September—its highest level over the trailing 12-month period—suggesting sustained capital movement and positioning activity across the platform. These performance figures underscore why investors continue to allocate to hedge funds despite redemption pressures observed in certain segments.
SS&C GlobeOp's hedge fund indices are derived from aggregated, anonymized data across a broad range of administered funds and represent approximately 10% of estimated global hedge fund assets under management, lending statistical significance to the data as a market proxy. The next Forward Redemption Indicator is scheduled for publication on October 21, 2026.
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