The pace of new hedge fund startup has slowed slightly:
New hedge funds are opening at the slowest pace since 2003 with almost all of the $164 billion of new investments going to managers with proven records, data compiled by Chicago-based Hedge Fund Research Inc. show.
…About 1,200 funds will be introduced this year, down 20 percent from 2006, Hedge Fund Research estimates. About 600 will close.
There were about 9,900 funds worldwide at the end of September.
As strange as it might seem, this is optimism-inducing stuff, even if the numbers are still gigantic. A more discerning market is a good thing.