Hedge Fund Monitor
Counterparties
Hedge funds rely on counterparty relationships for funding needs, securities transactions, and derivatives trading. Counterparties include banks and nonbanks such as securities dealers, asset managers, and insurance companies. These financial relationships, or interconnections, represent channels for the transmission of risk from hedge funds to counterparties, and counterparties to hedge funds, during times of market stress. The significance of this transmission channel depends on the number of counterparties, the importance of counterparties to one another, and the extent to which counterparties are interconnected with other financial firms, the financial system, and the broader economy. Examples of counterparty metrics include the number of creditors per hedge fund, degree to which hedge funds concentrate borrowing, and absolute amount of lending by the largest creditors.
Creditor concentration by size cohort (percent of total)
Skip the ChartThe data are aggregated responses to SEC Form PF. Blank or null values are intentional to avoid potential disclosure of proprietary information of individual filers. Only responses from Qualifying Hedge Funds are included. See additional definitions and methodology on the SEC Form PF Data Sets page of the Hedge Fund Monitor.
Percents are simple average shares of total borrowing from the three largest creditors derived from SEC Form PF question 47. Question 47 excludes creditors that represent less than 5% of net assets for a given reporting hedge fund. Size cohorts are based on hedge funds’ ranking each quarter by gross assets.
Series Used
This OFR monitor is presented solely for informative purposes and should not be relied upon for financial decisions; it is not intended to provide any investment or financial advice. If you have any specific questions about any financial or other matter please consult an appropriately qualified professional. The OFR makes no warranty, express or implied, nor assumes any legal liability or responsibility for the accuracy, completeness, reliability, and usefulness of any information that is available through this website, nor represents that its use would not infringe on any privately owned rights.
Disclaimer Regarding Non-OFR Data and InformationFor convenience and informational purposes only, the OFR may provide links and references to nongovernment sites. These sites may contain information that is copyrighted with restrictions on reuse. Permission to use copyrighted materials must be obtained from the original source and cannot be obtained from the OFR or from the U.S. Treasury Department. The OFR is not responsible for the content of external websites linked to or referenced from this site or from the OFR web server. The U.S. government, the U.S. Treasury Department, the Financial Stability Oversight Council, and the OFR neither endorse the data, information, content, materials, opinions, advice, statements, offers, products, services, presentation, or accuracy, nor make any warranty, express or implied, regarding these external websites. Please note that neither the U.S. Treasury Department nor the OFR controls, and cannot guarantee, the relevance, timeliness, or accuracy of third-party content or other materials. Users should be aware that when they select a link on this OFR website to an external website, they are leaving the OFR site.
Suggested CitationOffice of Financial Research, "Hedge Fund Monitor," refreshed monthly, https://www.financialresearch.gov/hedge-fund-monitor/ (accessed ).