Thursday, 28 August 2014
Last updated 3 min ago
Jan 15 2013 | 2:43pm ET
The year 2012 was far from a banner year for hedge funds, according to the latest Hedge Fund Monitor from Bank of America Merrill Lynch.
The global diversified hedge fund index was up 5.63% in 2012, compared to the 16% return of the S&P 500.
The best-performing strategies last year were distressed credit and event-driven, up 9.61% and 9.10%, respectively. The biggest losers were short-biased funds—down 14.31%. Managed futures strategies also ended the year in the red, losing 3.13%.
According to BofAML analyst Mary Ann Bartels, market neutral funds bought market exposure to 5% from 3% net long; equity long/short funds “aggressively” bought market exposure to 23% from 19% net long; and macros bought the NASDAQ 100, commodities and 10-year Treasuries; partially covered their shorts in emerging markets and EAFE exposures; and sold the S&P 500 and U.S. dollar futures.
Commodity Futures Trading Commission data shows large speculators sold the S&P 500 and Russell 2000 futures while buying the NASDAQ 100.
Agriculture speculators sold soybeans and corn, partially covering wheat while metals speculators bought copper and platinum while selling gold, silver and palladium. Energy speculators bought crude, heating oil and gasoline and partially covered natural gas.
Forex speculators partially covered the yen, bought the U.S. dollar and sold the euro as interest rate specs sold Treasuries across the board.
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…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...