New York-based Energy Hedge Fund Center LLC reports it is now tracking more than 600 energy and environmental hedge funds in its Directory of Energy Hedge Funds.

Since its launch in October 2004, identifying some 180 such funds, the directory has constantly expanded, reflecting investor appetite for energy-oriented hedge funds, EHFC reports. Recent trends include the growth of carbon and environmental energy funds and, as the total universe of energy hedge funds has grown, there are now funds of hedge funds as well.

"Despite well-publicized energy hedge-fund blow-ups, we continue to see more investors deploying capital in the energy and environmental sector," says Peter Fusaro, EHFC co-founder. "We also see the closure to investors of some larger funds, and niche strategies, which leads to more opportunities for new fund managers in this dynamic sector.

"We expect more energy commodity and green funds for 2008."