Wednesday, 20 August 2014
Last updated 39 min ago
Jan 10 2013 | 2:00pm ET
The average hedge fund returned just over 6% last after a strong December put a bit of a shine on an otherwise underwhelming year.
The HFRI Fund Weighted Composite Index was up 6.16% in 2012. The Hedge Fund Research benchmark rose 1.26% last month.
Most strategies tracked by the HFRI suite were up both for December and the year. Asset-backed strategies did best in 2012, rising 16.46% (0.63% in Dec.). Asia ex-Japan funds (11.47% in 2012, 2.83% in Dec.), distressed and restructuring funds (10.34%, 2.34% in Dec.), emerging markets funds (10.3%, 3.3% in Dec.) and relative-value funds (10.04%, 0.66% in Dec.) also posted double-digit returns last year.
Event-driven funds rose 8.54% on the year (1.63% in Dec.), equity hedge funds 7.39% (1.56% in Dec.), equity-market neutral funds 3.27% (0.5% in Dec.) and merger arbitrage funds 2.98% (1.34% in Dec.).
Last year's losers were led by short-bias funds, which could not withstand the 16% jump by the Standard & Poor's 500 Index. They lost an average of 17.46%, falling a further 3.02% in December. Energy and basic materials funds fell 5.79% (down 0.07% in Dec.), systematic diversified funds 2.5% (up 1% in Dec.) and macro fund 0.18% (up 1.04% in Dec.).
The HFRI Fund of Funds Composite Index was up 5.25% on the year (1.6% in Dec.). Only one fund of funds strategy lost ground in 2012: market defensive, which was down 1.2% (up 0.94% in Dec.).
Aug 4 2014 | 7:42am ET
By now, U.S. and international subscribers have received their home or office delivery of the special 500th issue of Futures magazine. You can too!—a very special offer follows. The issue is the largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders. Read more…
The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.
The Alpha Pages Editor's Note