Cambridge Associates turns to hedge funds to capture rising demand from wealthy investors

Cambridge Associates is shifting its emphasis towards hedge funds as it aims to attract a growing number of affluent investors and family offices in Asia, according to a report by CityWire. The investment advisory firm has witnessed a significant surge in demand for alternative investments, as private clients reassess their portfolios and seek strategies to minimize reliance on conventional equities and bonds.

Ming Yan, the managing director at Cambridge Associates, revealed that hedge funds have become a crucial component of conversations with both current clients and potential families, particularly affluent investors with limited prior exposure to this asset class.

The firm's private client division has expanded rapidly in recent years, with the client base increasing by approximately 60%. Wealthy individuals have comprised roughly half of Cambridge Associates' Asia business thus far in 2025, although the company does not disclose the assets for their regional private client operation. Across the group, Cambridge Associates managed $667 billion in assets under management and advice at the end of 2025, with $102 billion invested in hedge funds.

The consultancy's long-standing relationships with more than 1,000 hedge fund managers serves as a strong selling point, as wealthy investors allocate a larger portion of their portfolios to alternatives. Ming Yan emphasized the breadth of selection available, stating that Cambridge Associates offers a diverse portfolio of hedge fund managers to construct tailored investment strategies for their clients.