The healthcare sector went on a tear beginning in 2011, thanks in large part to the passage of the Affordable Care Act and its impending implementat
Thursday, 19 January 2017
Last updated 52 min ago
Jul 11 2007 | 10:44am ET
Hedge funds made it 12 months in a row in positive ground with a 0.9% advance in June, the Barclay Group said today. Over that period, hedge funds have added 14.4%.
“Over the past 60 months, the Index has fallen in 10 months and risen in 50 months, making it a fairly comfortable ride for investors,” Barclay founder Sol Waksman said.
After June’s upswing, the Barclay Hedge Fund Index is up 7.55% this year. By contrast, the Standard & Poor’s 500 is up just 6.96% after equity markets took a beating last month.
Still, 15 out of Barclay’s 18 indices rose on the month. Equity short-bias gained 2.5%, emerging markets 2.25%, Pacific Rim equities 1.62% and global macro 1.59%.
“Equity markets in the U.S. and many other developed economies experienced price declines during the month, however hedge funds devoted to equity strategies were still able to make a profit in June,” Waksman said. “Continuing problems in the sub-prime loan market have resulted in the closure of several funds specializing in the sector. But spill-over effects into the larger hedge fund sectors have been very limited.”
The only strategy tracked by Barclay with a “significant drop” last month was event-driven, which fell 0.77%, a decline Waksman attributed both to the weak equity and bond markets.
Year-to-date, the indices with the strongest performance at emerging markets (12.9%), equity long-bias (9.96%), merger arbitrage (9.36%), distressed securities (8.57%) and European equities (8.38%).