Hedge funds have more than $2,900bn under management, according to a survey of valuers of their assets, sharply up on last year in spite of the credit crunch and a series of high-profile problems in the industry.

The survey of assets under administration by Hedge Fund Manager Week, a trade magazine, showed the total had jumped 20 per cent in the past year and continued to climb over the past six months even as the credit squeeze intensified.