Hedge Funds Lose Ground In June

Jul 16 2013 | 12:34pm ET

The median hedge fund lost 1.04% last month, according to Deutsche Bank's most recent Markets Prime Finance Hedge Fund Trends, dragging global median performance down to 3.80% through the end of June.

Distressed funds extended their gains to 8.72% year to date, with equity long/short strategies up 6.02% YTD. In terms of regions, Japan long/short funds are up 16.71% YTD. DB said global dispersion of returns across funds remains high with funds in the 75th percentile up 0.35% and funds in the 25th percentile down.

DB said that in meetings with investors in Canada, Virginia and Europe last month, large Canadian pensions indicated that they continue to allocate opportunistically with a focus on macro and market neutral strategies. In Virginia, investors are resisting taking a market view and looking at investments from a bottom up perspective.

Hedge funds' short targets in June included BlackBerry and Molycorp. The borrowing of Japanese equities has been on the rise, even as the benchmark Nikkei has lost ground. Chinese banks were a short interest focus, according to DB “with rising concerns about the lack of transparency in the shadow banking systems, non-performing loans and rising systemic risk.”


In Depth

Q&A: Quad Advisors’ Borish Is Looking For Real Traders, Not Index Huggers

Aug 20 2014 | 1:43pm ET

Peter Borish, who served as founding partner and director of research at Tudor Investment...

Lifestyle

Viking Manager In Rent Dispute

Aug 11 2014 | 4:14am ET

A hedge fund manager is demanding most of his money back from his former landlord...

Guest Contributor

Majority Of Inflows Go To Brand Name Hedge Funds

Aug 12 2014 | 9:00am ET

Since the market correction of 2008, a vast majority of hedge fund net asset flows...

 

Editor's Note

 

Futures Magazine

PREVIEW July/August 2014 Cover

Inside Futures' 500th Issue

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

TAP July/August 2014 Cover

Real talk on alternative investments, business & finance

The Alpha Pages Editor's Note