Hedge Funds Fall In October

Nov 5 2012 | 1:19pm ET

Hedge funds suffered a through a tough October, with only event-driven funds providing a glimmer of good news, according to an industry replication index.

The Credit Suisse Liquid Alternative Beta Index dropped 0.64% last month. After a year of trailing the Standard & Poor's 500 Index, the benchmark managed to beat it in October, but only by missing out on the broader market's full decline.

The index is up only 2.31% on the year, and in October, event-driven "was the sole contributor to performance, finishing up 0.94% for the month," Jordan Drachman, head of alternative beta strategies at Credit Suisse said. Drachman also noted that, with a return of 9.12% on the year, event-driven "continues to be the highest-performing strategy" in 2012.

The other four strategies tracked by the LAB indices were in the red on the month. Managed futures funds fell 2.41% (down 8.84% year-to-date), and long/short funds lost 2.01% (up 2.94% YTD). Merger arbitrage funds dropped 1.28% in October (down 4.18% YTD) and global strategies shed 0.86% (down 0.53% YTD).


In Depth

Israeli Hedge Fund Harnesses Big Data

Jul 28 2014 | 8:10am ET

Apica Green is a multi-million dollar Israeli hedge fund that is based in Tel Aviv...

Lifestyle

David Yarrow On Growing His Hedge Fund And Shooting The Animals And People Of Africa - As A Photographer

Jul 23 2014 | 6:44am ET

While he’s always been a photographer, recent expeditions to Iceland, Ethiopia...

Guest Contributor

Why Is The Shipping Industry Underwater?

Jul 31 2014 | 7:31am ET

Anyone who’s taken a look at the global shipping industry recently probably knows...

 

Publisher's Note