Thursday, 24 July 2014
Last updated 8 hours ago
May 7 2013 | 1:29pm ET
Equity long/short hedge funds are on track to return over 20% in 2013—their best performance in over a decade—having returned over 6% in the first four months, reports eVestment.
Oddly, given this strong performance, long/short equity funds had the highest net investor outflows in 2012 and have continued to see outflows into 2013.
Hedge funds generally returned 1.04% on average in April, putting them up 4.6% for the first four months of 2013, according to the data provider.
Commodity funds remain the only strategies in the red, a fact eVestment attributes to their aggregate long-bias to commodity prices. Commodities strategies lost 0.85% in April and are down 2.28% YTD.
Sharp price drops for gold and silver mid-April were not meaningful across the industry, says eVestment, although they may have hurt funds with dedicated precious metals exposure (see: John Paulson's Gold Fund).
Credit strategies posted modest April gains and look set to duplicate their 2012 performance. ABS and MBS focused funds were up 1.00% and 1.20%, respectively, in April and 8.9% and 5.1% YTD.
Managed futures added 1.02% in April to bring their YTD totals back into the black.
Regionally, says eVestment, exposure to Japan’s monetary policy-driven equity market boom has produced once-in-a-generation hedge fund performance: Japan-focused funds are up nearly 20% through April.
China funds rebounded over 2% in April and emerging Europe-focused funds shed almost 2%, although emerging-Europe funds have performed better than their China counterparts YTD.
Jul 8 2014 | 10:48am ET
The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…