Sunday, 28 December 2014
Last updated 5 hours ago
Oct 21 2010 | 4:57pm ET
Hedge funds added 3.7% in September, according to the Bloomberg Hedge Fund indices, with all strategies—including, unusually, short-bias—in the black on the month.
The Bloomberg Aggregate Hedge Fund Index itself surged into the black last month and is now up 2.6% on the year. With U.S. stocks enjoying their best September in more than 70 years, long-bias equity funds led the way with a 6% return (2.5% year-to-date).
Surprisingly, short-bias funds weren't far behind with a 4.9% return (4.4% YTD). Most hedge fund index families showed short hedge funds taking a beating, with many down by double-digits both on the month and year.
Emerging market equities also did well, adding 5.3% on the month (9.1% YTD). Equity fundamental market-neutral placed in September with a 5.2% return, but it wasn't enough to erase the strategy's 2010 loss, which now stands at 4.1%. It is the only strategy index in the red on the year.
Long/short equity funds returned 4.9% on the month (4.6% YTD), equity statistical arbitrage funds returned 3.6% (2.5% YTD), commodity trading advisers and managed futures funds returned 3.5% (0.8% YTD) and fixed-income arbitrage funds returned 3.3% (9.4% YTD).
Merger arbitrage funds added 2.9% (flat YTD), macro funds added 2.8% (1.6% YTD), multi-strategy funds added 2.7% (1.6% YTD), distressed securities funds added 2.1% (8.9% YTD) and convertible arbitrage funds added 1.2% (3.6% YTD).
Mortgage-backed arbitrage funds have proven the best bet on the year with a 14% return, followed by emerging market equities and distressed securities.
Funds of hedge funds returned an average of 3.2% last month to cut their year-to-date loss to 1.3%.
Dec 1 2014 | 10:21am ET
As 2014 winds down, Northern Trust Hedge Fund Services executives took some time to share their outlook on trends facing the industry in 2015. Read more…
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.