Hedge funds are continuing to shut down, but the pace of failures isn't quite as bad as feared.
Some 200 funds liquidated during the third quarter, according to industry data tracker HFR. That brings the total of closed funds to 661 through September, not quite on pace to match the 1,023 that shut in 2009, the previous record outside of the peak of the financial crisis in 2008 when 1,471 funds closed.
The number that shut in the third quarter also represents a slight decline from the same three month period in 2013, when 222 shut. And more funds are starting: HFR data shows that 814 funds have launched this year.