eVestment|HFN: Hedge Funds Slip 0.29% In April

May 9 2012 | 12:56pm ET

Hedge funds were down 0.29% in April, according to eVestment|HFN estimates for the month, although they remain up 4.38% YTD.

The firm says early indications show slightly negative net investor flows for April, the second negative month in a role and a reversal of the strong inflows seen mid-Q1. The hedge fund industry managed an estimated $2.54 trillion, as of April 2012.

Large funds (those with over $1 billion AUM) accounted for “virtually all reported inflows” during the month, with 54% of $1 billion+ funds reporting core growth compared to 45% of mid-sized funds (those with AUM between $250 million and $1 billion).

The negative overall result in April was due primarily to equity strategies, which fell 0.40% overall (although they’re still up 4.38% YTD). The biggest losers were energy sector funds, down 1.13%; market neutral funds, down 0.54% (up 1.83% YTD); and long/short equity funds, down 0.42% (but up 6.19% YTD).

Fixed income strategies were all positive in April, led by mortgage funds, which were up 0.74% on the month (and 5.64% YTD) and distressed funds, up 0.38% on the month (and 6.65% YTD).

Multi-strategy funds shed 0.16% on the month (but are up 2.88% YTD). Within this category, the biggest losses were posted by commodity strategies which lost 1.55% due to volatile markets (they’re up 1.07% YTD).

Emerging markets funds were down 0.17% overall (up 7.85% YTD). The worst performance in April was that of Russia-focused funds, which fell 5.72% on the month (but are up 7.32% YTD).

According to Peter Laurelli, vice president of eVestment Alliance, the “story” of 2012 “continues to be that investors do not yet appear interested in increasing exposure to equity markets despite the early strong returns. Credit and macro/commodity funds continue to receive net inflows, but macro fund flows are dominated by the larger strategies which have generally performed better.”


In Depth

High Time For A Cannabis Hedge Fund?

Sep 30 2014 | 7:07am ET

Launching a hedge fund is always a gamble, but Leslie Bocskor's decision to launch...

Lifestyle

Griffin Donates $1M To Rauner's Illinois Gov. Campaign

Sep 22 2014 | 9:29am ET

Hedge fund billionaire Kenneth Griffin definitely has a dog in this fight. The Citadel...

Guest Contributor

Appraisal Ratio Key To Evaluating Hedge Funds And Other New Investments

Sep 29 2014 | 3:07pm ET

As a former finance professor Peter Hecht experiences heartburn every time he hears...

 

Videos

Editor's Note

    Must Attend Hedge Fund Charity Events For October

    Sep 30 2014 | 9:29am ET

    The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…

 

Futures Magazine

September 2014 Cover

High frequency market making

High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.