Hedge funds see largest quarterly withdrawal since 2009

Investors pulled out $33 billion from hedge funds in the first three months of 2020, the biggest outflow in more than a decade, according to a report on Wednesday from Hedge Fund Research. 

Investors had pulled out $42 billion in the second quarter of 2009.

Global equity markets fell sharply in the first quarter and the majority of the drop happened in March after the coronavirus outbreak gathered pace in Europe and in the US, forcing investors to shun risk on recession fears.

The situation in the equity markets has normalized over the past few weeks mainly due to the unprecedented fiscal and monetary stimulus launched by governments and central banks across the globe.