Investors' interest intensifies in hedge funds as countries compete for business

Modern financial centres in some Middle Eastern countries are attracting investment activity. However, despite the wealth of the region, hedge funds are viewed as a niche sector which has not yet captured the full attention of investors.

Most managers continue to domicile their funds in jurisdictions like the Cayman Islands and the British Virgin Islands, as well as the Channel Islands in Europe. Managers prefer these jurisdictions because they offer flexible laws and global recognition.

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