Barclay Hedge Fund Index Down 3.92% in Sept.

Oct 19 2011 | 9:23am ET

The Barclay Hedge Fund Index shed 3.92% in September, as most hedge fund strategies posted losses for the month.

The September results bring the index’s YTD losses to 6.53%.

“For the second straight month we’re seeing the largest hedge fund losses since the 2008 meltdown,” says Sol Waksman, founder and president of BarclayHedge.

“Equity markets, driven by fear-based liquidation, dropped precipitously. Double-dip concerns drove the S&P 500 to a 7% loss, the MSCI Europe Index gave up 11.1% over the uncertainty of resolution of its sovereign debt issues, and the Hang Seng Index lost more than 15 percent as the Chinese economy appeared to slow.”

September ended in the red for 16 of Barclay’s 18 hedge fund indices. Emerging markets fell 7.61%, equity long bias fell 6.13%, event driven strategies shed 3.91%, healthcare and biotech lost 3.54%, distressed securities 3.33% and Pacific Rim equities fell 3.18%.

Equity short bias was one of the only bright spots—those strategies were up 8.05% in September and 14.34% YTD, proving, said Waksman, that short sellers were "able to capitalize on the lack of confidence that current economic concerns can be resolved in a timely and effective way.”

The Barclay Fund of Funds Index lost 2.78% in September, and is down 5.78% year-to- date.


In Depth

Bob Doll's Ten Market Predictions For 2016

Jan 7 2016 | 9:37pm ET

Well-known market strategist Robert Doll has published his annual list of ten predictions...

Lifestyle

Citadel's Ken Griffin Donates $40M To New York's Museum of Modern Art

Dec 22 2015 | 9:23pm ET

Citadel founder Ken Griffin has donated $40 million to New York’s Museum of Modern...

Guest Contributor

Hedge Fund Marketing - Making the Most of Your Salesperson

Jan 20 2016 | 8:11pm ET

In this contributed article, Bruce Frumerman of Frumerman & Nemeth takes a close...