Hedge funds have been using tried and tested methods to attract new investment for decades. These primarily revolve around in-person interactions, connecting with investors at events and through introductions. This is an essential component of fund marketing. However, this approach benefits the funds with the largest marketing budgets, biggest marketing teams, and best-known brands. For many, there is room for improvement.
Over the past few years, technology has played a growing role in fund marketing and fundraising. This accelerated in 2023 and shows no signs of slowing down in 2024. As is often the case, we are close to a tipping point, where a new technology is no longer a “nice to have”, but a “must”. Adoption fuels development, development fuels adoption, and progress happens quickly and irreversibly.
In our latest white paper “Fundraising in 2025” we consider the routes to market currently available to fund managers, with a focus on new developments during the past 12 months. There are several new options available to fund managers of all sizes and stages, which let them showcase their fund(s), present their firm, and connect with investors, with scale and efficiency. We also look ahead to the next 12-24 months and consider how recent changes will likely spur a change in investor behaviour, and further technological development.
Technology is improving the landscape for hedge funds looking to fundraise. Traditional methods of engagement such as events can be augmented through technology, allowing more precise connections, and supporting conversations before, during, and after the event. New ecosystems offered by some prime brokers and third-party marketers offer an additional route to market, letting managers showcase their fund(s), and see which investors have expressed an interest. Fund marketing solutions let fund managers target investors directly and track engagement, driving precision and focus into their fund marketing.
At the same time, new technology is shifting investor expectations and hedge funds must rise to this investor preference for digital engagement. Investors will develop preferred ways of working and chosen platforms to use – and fund managers need to be wise to this. To ignore these new platforms could be to hugely disadvantage your fundraising efforts.
The fundraising environment is changing, and there are more options than ever available to hedge funds looking to attract new investors. Check out the paper to learn more.