It’s a reasonably widespread opinion that the fund of hedge funds model is seriously challenged – if not dead – and the writing on the wall was clear to two local managers as the credit crisis unfolded.

It is understood Everest Financial Group and HFA Holdings held preliminary merger talks, though this never got past the early stage. If nothing else, their instincts about fund of hedge funds proved right, although it is questionable whether such a merger would have helped their respective fates.