After years of explosive growth, hedge funds, those sometimes volatile pools of private capital, are undergoing a shakeout. But according to an annual survey of hedge fund investors conducted by Deutsche Bank, things may not be as bleak as many hedge fund managers fear, reports The New York Times.

Despite gaping losses at many funds, most of the investors polled by the German bank said they believed that hedge funds would post returns of 5 to 10 percent for 2009, besting the broader financial markets.

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