Wednesday, 27 August 2014
Last updated 56 min ago
Jun 15 2007 | 11:25am ET
The booming equities market and a strengthening U.S. economy boosted hedge fund last month, according to two indices released today. The Credit Suisse/Tremont Hedge Fund Index rose 2.31% in May to reach 7.86% year-to-date, and the RBC Hedge 250 Index added 1.7% to hit 6.35% for 2007. Of course, the strong economy also lifted the broader markets, as the Standard & Poor’s 500 rose 3.49% on the month (8.77% YTD).
“The U.S. economy rebounded in May as job creation was double the April figures, unemployment held steady, consumer confidence rebounded from an eight-month low, and the manufacturing sector grew at its fastest rate in over a year,” Oliver Schupp, president of the Credit Suisse Index Co., said. “Overall, this market environment has been favorable for the majority of hedge fund strategies. Managed futures, in particular, were up 5.13% in May as managers generally profited from the strong performance of medium-term CTAs on the back of strong M&A activity, a positive economic outlook and a strong stock market.”
The strong month for managed futures was its second in a row; the strategy is now up 4.22% year-to-date after April 4.02% return and May’s 5.13%. Other strategies, however, have not needed a turnaround this year.
Event-driven continues to be the strategy to beat, rising 3.24% in May to hit an even 10% for the year, according to Credit Suisse. In particular, event-driven multi-strategy funds are booming, jumping another 4.31% last month to top all comers at 11.73% year-to-date.
Long/short equities were also boosted by the strong stock market, rising 2.31% in May (9.25% YTD). Dedicated short-bias, by contrast, took another bath, dropping another 2.2%—after last month’s 2.74% drop—and is down 3.31% year-to-date.
The Credit Suisse/Tremont Investable Hedge Fund Index was up 2.03% last month (6.06% YTD).
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…
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 ...