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Market Watch: Hedge-fund industry assets soar to record $5 trillion. Why the biggest firms are getting even bigger.

By Joseph Adinolfi | October 24, 2025

“Sources of return that are truly less correlated or even hedged to passive indices are getting harder and harder to find,” said Joe Hegener, founder and CIO of Asterozoa Capital, an Arizona-based hedge fund. Asterozoa has $150 million in assets under management. Despite its smaller size, Asterozoa had some inbound interest from investors during the third quarter, Hegener said.

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