Standard Chartered pivots to hedge funds to dampen market volatility

Samir Subberwal, the bank’s global head of wealth solutions, argues that these instruments provide a necessary cushion, offering returns that remain lowly correlated with broader market swings. This strategic shift coincides with a broader industry trend; global hedge fund assets surged by $409 billion last quarter, hitting a record $5.6 trillion. According to recent data from Goldman Sachs, these funds returned an average of 7% in the first half of 2026, significantly outperforming their decade-long average of 4.1%.

For Standard Chartered, the move serves to complete a product suite designed to capture Asia’s rapidly expanding pool of affluent investors. The bank is coming off a strong performance period, with first-half profits exceeding forecasts. Wealth income climbed 38% last month, fueled by a double-digit increase in investment product uptake as clients sought professional advice to navigate increasingly choppy financial conditions.