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

Q&A: Brevan Howard’s Charlotte Valeur Talks Strategy

Sep 18 2014 | 11:18am ET

Charlotte Valeur chairs the board of Brevan Howard Credit Catalysts, an LSE listed...

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 race. The Citadel...

Guest Contributor

Top 5 Predicted Outcomes Of CalPERS' Hedge Fund Divestment

Sep 22 2014 | 8:35am ET

CalPERS’ announcement to divest of hedge funds has created a significant buzz...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    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…

 

Futures Magazine

September 2014 Cover

The London Whale: Rogue risk management

Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.

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.