Why hedge funds are Japan's only sane, liquid asset class

The Eurekahedge Japan Index is up 1.45% this year to end-July. That's not a bad performance versus the Nikkei 225, which has dropped about 7% over the same period - including the earthquake/tsunami/radiation disaster of March. Japanese hedge funds were flat in June, and up by 0.5% as a group in July. So far this month the Nikkei 225 is down 11%. Alternative investors, not just in Japan but for the whole of Asia, are waiting to see how hedge funds have coped (it might be better -  if …