June saw the highest levelof hedge-fund redemptions since October 2009, and I doubt things have gotten better in July, as most apparently missed the rally.
It's still too early to tell what levelof success the fund might reach, but it's safe to say that the days of high-flying returns of the late 1990s are over.
By talking to prime brokers (the arms of banks that serve hedge funds), the authorities have also been able to monitor the aggregate levelof hedge-fund exposure, and thus systemic risk.