Market malaise is not caused by hedge funds

Commentators have oversimplified the cause of recent market volatility, laying blame squarely at the feet of hedge funds which control only 2% to 3% of global managed assets, according to analysts at UBS Warburg.

A recent note from the brokers on short selling reported that, although hedge funds account for roughly $600bn, outright short sellers make up just 0.11% of assets under management, compared with 0.12% of assets in 1990.

'Such a small asset pool can hardly have brought about the current s

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