Hedge Funds Double 2011 Returns In April

May 11 2011 | 12:09pm ET

Hedge funds returned 1.4% in the first quarter, but jumped 1.69% in the first month of the second, according to Greenwich Alternative Investments.

The Greenwich Global Hedge Fund Index more than doubled its year-to-date return last month to 3.25%. Still, the benchmark badly trailed the Standard & Poor's 500 Index, which returned almost 3% in April alone and is up about 9% on the year.

With two exceptions, all of Greenwich AI's strategy and substrategy indices were in the black last month, led by directional trading funds—and especially futures funds. The former rose 3.05% last month (2.46% year-to-date) and the latter 3.66% (2.94% YTD).

Multi-strategy event-driven funds also did well, adding 2.08% to reach 4.82% on the year, the best mark of any strategy or substrategy tracked by Greenwich AI.

"Hedge funds continued to move higher in April driven by strength in equities and commodities," Clint Binkley, senior vice president at Greenwich AI, said. "Nearly all hedge fund strategies are at new highs for the year and continue to be successful in a market dominated by headline risk and uncertainty."

Two that are not are other arbitrage funds (excluding convertible and fixed-income), which fell 1.17% on the month and are down 0.77% on the year. Short-biased funds also wilted amidst the market rally, dropping a further 1% to fall to 4.15% down.


In Depth

Will Liquid Alts’ Performance Sustain Future Asset Flows?

Aug 25 2014 | 10:34am ET

Liquid alternative investment funds saw the highest percentage of capital inflows...

Lifestyle

Hedgies, Economists and Musicians Mingle At Milkin Mixers In Hamptons

Aug 25 2014 | 6:00am ET

Leave it to Michael Milken to bring some gravitas and sweat to the Hamptons -- along...

Guest Contributor

Looking Ahead: What’s In Store For Managed Futures?

Aug 22 2014 | 12:52pm ET

The last five years were phenomenal for investors in equity indices. Will the next...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    Aug 25 2014 | 11:21am ET

    As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…

 

Futures Magazine

July/August 2014 Cover

The time was right

Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...

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.