Hedge Funds Edge Up In April

May 6 2010 | 10:59am ET

As in March, hedge funds in April posted broadly positive returns. And as in March, hedge funds again trailed the broader markets, according to Hedge Fund Research.

The average hedge fund rose 0.8% last month, the HFRX Global Hedge Fund Index shows. That's well behind March’s 1.38% return and also lagged the Standard & Poor’s 500 Index, which rose 1.57% in April.

Year-to-date, the benchmark is up 2.45%, well behind the S&P500, which is up 7.05% on the year.

As in March, almost all strategies were in the black. Just two, in fact, posted losses: Equity market-neutral funds shed 0.38% (up 0.63% year-to-date) and macro funds dropped 0.7% (down 0.1% YTD).

Leading the way last month were distressed securities funds, which added an average of 2.25% in April (7.67% YTD—the only HFRX index currently ahead of the S&P500). Multi-strategy relative-value arbitrage funds also had a strong month, adding 1.79% (6.86% YTD).

Fundamental growth funds returned 1.4% in April (down 3.64% YTD), convertible arbitrage funds returned 1.35% (3.55% YTD), relative value arbitrage funds as a whole returned 1.34% (4.02% YTD) and multi-region funds returned 1.28% (3.62% YTD).

Equity hedge funds added an average of 1.04% on the month (1.37% YTD), event-driven funds rose 0.82% (3.12% YTD), special situations funds returned 0.65% (3% YTD), absolute return funds added 0.58% (down 0.73% YTD) and merger arbitrage funds jumped 0.44% (2.19% YTD).


In Depth

Q&A: Sancus Capital And The Disruption Of The CLO Market

Oct 5 2017 | 6:28pm ET

Traditional collateralized loan obligation (CLO) funds in the U.S. market can offer...

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

Finding Success as Alternatives Converge

Oct 9 2017 | 4:00pm ET

Rising interest among institutional investors over the past several years has led...

 

From the current issue of