<p>New York: It&rsquo;s a buyer&rsquo;s market in hedge funds and wealthy families are beginning to feel the love.</p> <p>Turmoil in the fund industry is giving family offices a resurgence in power. As traditional institutional backers reconsider their hedge fund investments amid sluggish returns, those who manage money for the rich are gaining flexibility on fees, customised investments and more access to high-profile portfolio managers.</p> <p>&ldquo;Family offices are back to their historic levels of interest from the hedge fund manager public,&rdquo; said Alessandra Tocco, global head of capital introduction for JPMorgan Chase &amp; Co&rsquo;s prime brokerage division. &ldquo;They were the first movers and shakers into this industry, and now they are once again the coveted segment that most hedge funds find elusive.&rdquo;</p> <p>Fund managers are scrambling as they seek to recover from 2016 when more hedge funds closed than in any year since the financial crisis. This year is also proving a challenge. The average hedge fund trailed the S&amp;P 500 index in the first quarter and high-profile managers including Eric Mindich of Eton Park Capital Management have thrown in the towel.</p>