Tuesday, 30 September 2014
Last updated 3 hours ago
Jan 9 2013 | 10:42am ET
Hedge funds added 7.3% in 2012, according to eVestment, and even managed to outperform the S&P 500 TR in Q4.
And while eVestment's numbers are higher than those of most other indices (the HFRX Global Hedge Fund Index was up 3.51%, the Credit Suisse Liquid Alternative Beta Index was up 3.22% and the Eurekahedge Hedge Fund Index was up 5.63% in 2012), hedge funds still trailed the S&P 500's full-year gains of 16%.
Almost all strategies tracked by the research firm ended 2012 in the black. The best performers were mortgage strategies, up 18.66% on the year (0.75% in December); long/short equities, up 9.57% on the year (2.24% in December); and relative-value credit, up 9.23% on the year (0.36% in December).
Event/driven distressed strategies were up 9.07% on the year (1.84% in December); convertible arbitrage strategies were up 7.02% on the year (0.36% in December); and multi-strategy funds were up 5.84% on the year (2.25% in December).
Reporting lower, but still positive, returns were macro strategies (up 3.24% on the year, 1.04% in December) and market neutral (up 3.04% on the year, down 0.03% in December).
The only losing strategy in 2012 was managed futures, down 0.71% on the year (but up 0.46% in December).
In regional terms, emerging markets funds triumphed, gaining 16.84% on the year to developed markets' 6.53%, led by Indian funds (up 20.54% on the year); Chinese funds (up 14.13% on the year), and Brazilian funds (up 12.84% on the year).
Credit fund assets under management (at $796.93 billion), surpassed equity fund AUM (at $788.91 billion) for the first time on record, according to eVestment.
“For all the negative press hedge funds received in 2012, the year was broadly positive,” said eVestment VP Peter Laurelli in a statement. “Investor flows were firmly positive with nearly $40 billion of inflows through November, almost doubling last year’s full year total. Many strategies returned nearly 10% in a year that was widely expected to be tumultuous, and did so in the face of a rising burden from regulation and oversight.”
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
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…
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