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IMF urges tighter oversight of hedge funds as assets soar
IMF data cited by Reuters estimates hedge fund assets rose to about $13tn in early 2026 from roughly $4tn in 2013.
The International Monetary Fund has called for closer monitoring of hedge funds, focusing on their use of leverage, according to a report cited by Reuters.
The IMF said hedge fund assets reached approximately $13tn in early 2026, up from around $4tn in 2013, and noted that much of the growth has been driven by leverage, including synthetic leverage created through derivatives.
In the IMF view, hedge funds play a role in market efficiency and liquidity, but leveraged positions can amplify market stress when conditions deteriorate.
The IMF also flagged hedge funds' growing presence in sovereign debt markets, saying they account for about 9% of the Treasury market, more than double an estimated 4% share in 2022.