London – Moody’s Investors Service Ltd said it has launched a method for rating hedge funds as the industry enters the new and ‘more mature’ phase of raising financing through public debt markets.
Moody’s (nyse: MCO – news – people ) expects to issue its first ratings on unsecured debt ‘in the coming months.’ Its methodology will be based on three pillars: risk management and governance, business profile and financial profile.
The moves comes as hedge fund assets have shown a 5 year compound annual growth rate of about 21 pct and a 10 year compound annual growth rate of about 27 pct, Moody’s said.
