A total of 102 funds of hedge funds closed in the first quarter, the seventh quarter in a row that fund liquidations exceeded new launches, according to Hedge Fund Research’s HFR Market Microstructure Industry Report.

“Both investors and fund managers are continuing to exhibit a heightened sensitivity to leverage and risk, even with the benefit of the performance recovery from 2009,” Ken Heinz, the president of Hedge Fund Research, said in a statement that was released along with the report last week.

A total of 240 hedge funds liquidated in the first quarter. HFR Database currently consists of over 6,500 funds and fund of funds.