Friday, 4 September 2015
Last updated 8 hours ago
Jan 11 2010 | 2:54am ET
The HFRI Fund-Weighted Composite Index added 1.25% in December , closing out the year at 20.04%. Just two strategies and substrategies—out of the 23 tracked by HFR—lost ground last year, and only three last month.
Fixed-income convertible arbitrage funds were the strongest strategy in 2009, by some distance. The strategy returned 58.43% on the year (1.67% in December). Russia and Eastern Europe funds came in second at 51.08% (1.02%), followed by Latin America funds at 47.95% (2.39%), energy and basic materials funds 40.57% (3.21%) and emerging markets funds 40.32% (1.82%).
The (short) list of losers is short-bias, which plummeted 23.47% on the year (down 4.12% last month), no surprise given the equities rally last year. Systematic diversified funds lost 2.45% last year, all of it in the final month, when it lost 3.53%. The only other strategy to suffer a down December was macro, which lost 1.63% last month to end the year up 4.03%, the third-worst positive performance of any HFRI index.
The other major hedge fund strategies all ended the year with returns in excess of 25%. Event-driven funds returned 25.96% last year (3.15% in December), relative value funds 25.8% (1.95%) and equity hedge funds 25.07% (2.37%).
The HFRI Fund of Funds Composite Index finished 2009 up 11.16% after rising 0.44% in December.
Asia ex-Japan funds returned 36.8% (1.7% in December), global emerging markets funds 35.38% (2.46%), fixed-income corporate funds 31.05% (1.75%), technology and healthcare funds 27.03% (3.41%), distressed and restructuring funds 29.19% (3.35%) and asset-backed funds 26.33% (3.68%).
Relative value multi-strategy funds added 24.69% (2.2%), yield alternatives funds 23.79% (2.05%), quantitative directional funds 16.18% (3.18%) and merger arbitrage 11.6% (1.1%). Equity market-neutral funds returned just 1.85% on the year (0.69% in December) and private issue and Regulation D funds just 0.58% after a 3.55% jump last month.
May 27 2015 | 2:15pm ET
Support Hedge Funds Care, also known as Help For Children (HFC), by participating in this year's raffle. All proceeds go to support HFC's mission of preventing and treating child abuse. Read more…