CASAM, together with the non-profit academic research center CISDM, estimate total hedge fund assets at the end of 2007 at 2.16 trillion USD, with a total number of hedge funds of nearly 10,000. The Industry Report reveals that while the majority of funds remain domiciled outside the United States, predominantly in the Cayman Islands, the United States continues to be the principal place of business for an estimated 60% of management companies, with 25% of management companies operating in New York alone. In terms of assets, equity long/short is the single largest hedge fund strategy, with a total of $568 billion, followed by event driven multi-strategy with $245 billion, and global macro with $221 billion.

In 2007 hedge funds returned 10.15% on an equal weighted basis, with those invested in emerging markets posting the highest results of 17.10% for the third consecutive year. The return for funds of funds overall in 2007 was 8.68%. Commodity trading advisers as a whole were up 11.57%, the highest annual performance since 2002. Among CTAs, equity CTA managers posted the highest returns of 23.58%, while physicals CTA managers posted the lowest performance with returns of negative 1.35%.

Emphasis added by me concerning hedge fund strategy.