Large cap in for a rough ride as managers jump on the bandwagon

US long/short

The future for US long/short hedge fund managers could be difficult with an uncertain picture for the US economy and overcrowding in the asset class.

While the picture looks good on the surface, underlying factors suggest a fragility to sustained recovery and, according to Chris Jones, director of alternative investment strategies at io Investors, there are so many hedge funds in the large cap area of long/short US that "the juice seems to be going out of there."

"What was once meat and drink