Hedge funds will have to adapt to a more challenging market as investors respond to disappointing returns by demanding their fees back or pulling out altogether, according to Matthew Granade, chief market intelligence officer of Point72 Asset Management. No matter how you “slice-and-dice the data,” hedge funds are struggling to meet their promise to clients of producing consistently high returns with low correlation to markets, Granade said at the London School of Economics’ alternative-investment conference on Monday.