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

Financial Industry Blockchain Consortium R3 To Open-Source Platform Code

Oct 20 2016 | 9:03pm ET

Bitcoin's blockchain technology has spawned a flurry of activity among fintech startups...


Hedge Funds Swarm Into Palm Beach

Oct 27 2016 | 2:32pm ET

As the first flakes of snow fall on New York's northern suburbs, Dan Weil of South...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...