Friday, 21 October 2016
Last updated 29 min ago
Nov 10 2011 | 10:52am ET
Hedge funds gained ground last month—but only a fraction of the ground gained by the broader markets.
The Greenwich Global Hedge Fund Index returned 2.27% in October, a month in which the Standard & Poor's 500 Index soar 10.93%. The index remains down 3.2% on the year, while the S&P500 ended the month near break-even.
Two out of three hedge funds tracked by Greenwich Alternative Investments gained ground. Long/short equity funds rose an average of 5.32% last month, with market-neutral funds adding more than 2%. On the other hand, futures funds shed 2.55% and macro funds 0.53%.
"Concerns over Europe began to lift in October and hedge funds were able to benefit from the rise in equity prices," Greenwich AI's Clint Binkley said. "Long/short managers performed well given their cautious stance entering the month."