We've noted the hedge fund industry, despite some really negative headlines, has held up pretty well. Heidrick & Struggles has issued a report, noted by Reuters, saying the hedge fund industry is now back in hiring mode. The average hedge fund has gained more than 17 percent since January, and asset inflows have been positive for four straight months. All of this has people feeling good about next year. The hiring seems more brisk across the asset management industry right now.

There will be some competition from mutual fund companies, who are increasingly embracing more hedge fund-like strategies. The report notes that Putnam Investments and others have recently hired people who used to run hedge funds. As of now, it does not appear that compensation will rise to the 2007 levels. But it really depends on how the specific firm fares.

For more:
- here's the article

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