New report provides state-by-state data showing how alternatives support U.S. jobs, economic growth, and communities
WASHINGTON, D.C. – MFA released a new report today providing one of the most comprehensive state-by-state assessments of alternative asset managers’ impact on businesses, workers, and communities nationwide.
Alternative asset managers play a central role in capital markets and the economy, including by investing in businesses and markets and by helping investors diversify portfolios and manage risk. The report focuses on two core economic contributions: private credit’s role in financing businesses and generating economic growth, and hedge funds’ role in delivering returns for institutions that fund retirement savings, education, and essential services in local communities.
“Alternative asset managers provide a meaningful contribution to the U.S. economy and everyday Americans,” said Bryan Corbett, MFA President and CEO. “They support jobs in every congressional district, finance companies in every state, and deliver returns to pensions, foundations, and endowments that serve communities across the country. Regulators should continue fostering a regulatory framework that encourages these benefits nationwide.”
MFA’s analysis finds that private credit funds provided $559.9 billion in new loans to U.S. businesses over the past three years. This financing is a critical source of flexible, long-term capital that helps companies invest, hire, and grow across industries. For the first time, MFA estimates the broader economic impact of this lending, finding that it generated more than 6.5 million U.S. jobs and approximately $897 billion in economic activity nationwide.
Hedge funds manage approximately $1.6 trillion on behalf of pensions, foundations, and university endowments, helping these institutions fund long-term financial commitments. The investment totals by institution type are:
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$940 billion invested by pensions
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$510 billion invested by foundations
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$111 billion invested by university endowments
These allocations support retirements, scholarships, and the missions of nonprofits across the country.
MFA’s updated interactive platform provides national and state-level analysis of how private credit and hedge fund investments support businesses, workers, and institutions in all 50 states and Washington, D.C. Explore your state here.
Read the full report here.
Methodology: MFA analyzed private credit and hedge fund investment data sourced primarily from Preqin’s alternative asset database, supplemented by publicly available federal datasets. Private credit GDP and job impacts are calculated using the IMPLAN 2025 Model Year for the United States—a widely used economic model employed by federal and state governments to estimate the economic impact of investment and spending. See the full methodology here.
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About the global alternative asset management industry
The global alternative asset management industry — including hedge funds, private credit funds, and hybrid funds — serves thousands of public and private pension funds, charitable endowments, foundations, and other global institutional investors. The industry provides portfolio diversification and risk-adjusted returns to help meet their funding obligations and return targets throughout the economic cycle.
About MFA
Managed Funds Association (MFA), based in Washington, D.C., New York City, Brussels, and London, represents the global alternative asset management industry. MFA’s mission is to advance the ability of alternative asset managers to raise capital, invest it, and generate returns for their beneficiaries. MFA advocates on behalf of its membership and convenes stakeholders to address global regulatory, operational, and business issues. MFA has more than 180 fund manager members, including traditional hedge funds, private credit funds, and hybrid funds, that employ a diverse set of investment strategies. Member firms help pension plans, university endowments, charitable foundations, and other institutional investors diversify their investments, manage risk, and generate attractive returns throughout the economic cycle.
