Hedge Funds Off To Slow Start In ‘07

Feb 8 2007 | 12:48pm ET

Hedge funds started 2007 the same way they ended 2006: trailing the Standard & Poor’s 500.

For the first time, HedgeFund.net’s HFN Hedge Fund Aggregate Average returned less than the S&P500 in January, 1.45% to 1.51%. HFN attributes the slow start to managers taking a more cautionary stance.

Among individual strategies, healthcare, event-driven and small- and micro-cap funds had the happiest New Year, with returns of 3.92%, 2.27% and 2.22%, respectively. Strong performances were also turned in by multi-strategy, distressed and convertible-arbitrage funds, at 1.86%, 1.71% and 1.56% on the month. Convertible arb’s January was the 15th straight positive month for the strategy.

Meanwhile, last years’ champions, emerging markets and energy, got off to a slow start, with the former returning 0.95% and the latter just 0.02% in January. CTAs and managed futures funds rose 1.14% on the month.

The equal-weighted HFN averages include the 7,000 hedge funds, funds of funds and CTAs in the HFN database.


In Depth

Q&A: Portfolio Advisors' Brian Murphy On The Advantages of A Private Markets Platform

Jan 2 2018 | 11:05am ET

Most private markets firms reference their platforms as a source of competitive...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: The Top Hedge Fund Industry Trends for 2018

Jan 2 2018 | 12:22pm ET

Each year, Don Steinbrugge’s Agecroft Partners compiles the insights gained...

 

FINalternatives Trending

From the current issue of