funds look east as euro rises

Observing signs of economic recovery in the US and Japan, fund of hedge fund managers are increasingly positive about long/short managers in those countries.

Merger arbitrage, capital structure arbitrage and convertible arbitrage are also seen as improving strategies, according to Hedge Fund Review's latest survey of fund of hedge fund managers. Foreign exchange funds also remain very strong.

Managers predict distressed debt funds and specialist healthcare/biotech hedge funds will maintain moment