Wednesday, 30 July 2014
Last updated 8 hours ago
Jun 16 2010 | 12:10pm ET
Hedge funds dropped 2.42% in May, according to RBC’s Alternative Assets Group.
The investable RBC Hedge 250 Index remains barely in positive territory after May’s beating, by some measures the worst month for hedge funds in a year-and-a-half. All nine of RBC’s strategy indices were in the red, and five of them now find themselves down for the year.
One indicator of how bad the month was: Fixed-income arbitrage funds were the best performer, dropping a mere 0.41% (up 6.72% year-to-date). The next best strategy was multi-strategy, which shed 1.26% on the month (up 1.84% YTD).
Mergers and special situations funds, by contrast, took a steep fall, dropping by an average of 3.63% (up 1.76% YTD). Equity long/short funds were also battered, falling 3.24% and, unlike special situations funds, unable to console themselves with a positive year-to-date return: The strategy is down 1.01% through May.
Credit funds lost 2.44% last month (up 3.87% YTD), equity market neutral funds lost 1.71% (down 1.25% YTD), macro funds lost 1.62% (down 0.09% YTD), managed futures funds lost 1.55% (down 1.49% YTD) and convertible arbitrage funds lost 1.46% (down 2.9% YTD).
Jul 8 2014 | 10:48am ET
The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…