Facebook Slams IPO Door, Zombie Hedge Funds, Activist Investors Get Bold, Can't Lose Investments, and More
3. Zombie Hedge Funds
At the worst of the market turmoil in late 2008, an estimated $175 billion of capital was locked up in illiquid hedge funds, according to Hedge Fund Review. It is estimated that some $50 billion to $60 billion remains locked up in zombie funds, out of the reach of investors.
—Jay Eisenhofer and Matthew P. Morris, partners with the shareholder rights law firm Grant & Eisenhofer, in an editorial about insolvent hedge funds, titled "Hedge Funds of the Living Dead."
Source: New York Times Dealbook