Mixed Results For Hedge Funds In August

Sep 10 2010 | 1:07pm ET

August was an uneven month for hedge funds, according to early estimates from the Dow Jones Credit Suisse Hedge Fund indices.

Some strategies did very, very well, and some did not. Of the 13 strategies and substrategies tracked by the indices, six were in the black and seven in the red last month. All told, the results added up to a 0.22% return for the Dow Jones Credit Suisse Hedge Fund Index, which is up 2.46% on the year.

Unsurprisingly, short-bias funds did very well in a month that saw the Standard & Poor’s 500 Index plunge 4.7%. The strategy rose an estimated 5.11% to cut its year-to-date loss to 1.4%. Managed futures funds weren’t far behind with a 4.96% return, pulling it out of the red for 2010 at 3.64%.

Global macro funds added 2.57% on the month (7.56% year-to-date). Convertible arbitrage funds were up 1.37% (6.37% YTD), and fixed-income arbitrage funds were up 1% (7.84% YTD). Event-driven multi-strategy funds returned 0.57% on the month (3.84% YTD).

The more numerous losers were “led” by equity market neutral funds which, despite their name, followed equities down in August. The strategy fell by an estimated 2.33% and is down 5.2% on the year.

While market-neutral funds were the worst of the month, they weren’t alone in the red. Long/short equity funds fell 1.39% (down 2.15% YTD), risk arbitrage funds 0.8% (up 0.65% YTD), event-driven funds 0.69% (up 2.71% YTD), emerging markets funds 0.5% (up 2.18% YTD), distressed funds 0.49% (up 3.6% YTD) and multi-strategy funds 0.46% (up 1.67% YTD).


In Depth

Q&A: Executive Recruiter Talks Hedge Fund Closures, Hiring Trends

Dec 19 2014 | 6:58am ET

This year, hedge funds have been closing at a rate not seen since the financial...

Lifestyle

Cooper-Hohn Won't Contest Divorce Settlement

Dec 18 2014 | 9:51am ET

The ex-wife of hedge fund billionaire Christopher Hohn will not contest a divorce...

Guest Contributor

Alternative Investment Funds Face A Communications Imperative

Dec 19 2014 | 6:10am ET

A handful of the top alternative investment firms on both sides of the Atlantic...

 

Sponsored Content

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.