Hedge funds leave London for New York. But where next?

The Financial Times notes an exodus of hedge funds and their money from London, a phenomenon it attributes in part to new taxes and regulations imposed by Great Britain and the EU. The point I see is that money is moveable; when our own governments, federal and state, finish up their plans to tax and regulate the financial industry here, will the money move again? If it were mine, yes.

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3 responses to “Hedge funds leave London for New York. But where next?

  1. Anonymous

    Sloppy data

    London HFs are considering moves to Geneva or Zurich, not NYC

    Doubt data precisely captures how much of HF AUM are in Manhattan vs Greenwich

    NYC hedgies have convenient tax arb in Greenwich, esp if it keeps 5% income tax rate; otherwise, Dallas is US’ Geneva

    G550/Net/Blkberry era is great for tax arbitrage, esp where physical locations of world’s wealthiest taxpayers are often nondescript suburban places like Greenwich or SiliconValley

  2. Singapore, Hong Kong …. anywhere where the authorities understand and value investment and banking privacy I suspect.

  3. WaitingToBuy

    Chris – They are not leaving London for NY – they are headed to Switzerland and those other tax havens in Europe. NY is only reestablishing itself given London’s decline