Currency Hedge Funds Fall In Oct.

Nov 30 2011 | 12:12pm ET

Most hedge funds managed to gain some ground last month as the stock markets rallied. Not so currency hedge funds.

The average foreign exchange hedge fund lost 1.33% in October, according to Parker Global Strategies. The firm, which invests in currency funds, said that the average such fund is down more than 3% over the past 12 months.

Systematic currency funds were hardest hit, dropping 1.75%, while those primarily relying on human decisions fell 0.9%. Systematic funds are down 3.4% on the year.

Within PGS's portfolio, which includes 59 programs with US$46 billion in assets under management, returns ranged from a 4.4% increase to a 9.5% decline.

Among the major factors was the surprise fall in the value of the U.S. dollar against the euro and other currencies. Many currency hedge funds have fled to the greenback amidst growing concerns about the European debt crisis.


In Depth

Q&A: SkyBridge’s Anthony Scaramucci Readies For Wall Street Week Debut

Apr 16 2015 | 12:56pm ET

Anthony Scaramucci, founder and managing director of asset management firm SkyBridge...

Lifestyle

Puerto Rico Woos The Rich But So Far Gains Little

Apr 17 2015 | 2:45am ET

Hedge fund manager Rob Rill grins. He has just had word that U.S. financial regulators...

Guest Contributor

Minnesota Supreme Court Rejects The Ponzi Scheme Presumption: Lenders Claw Back Some Of Their Own Rights

Apr 17 2015 | 9:23am ET

A recent court ruling in Minnesota has put an end to the Ponzi Scheme Presumption...

 

Editor's Note