Hennessee: Hedge Funds Lose 0.50% In August

Sep 13 2013 | 8:56am ET

The Hennessee Hedge Fund Index lost 0.50% in August, putting its year-to-date gains at 6.45%.

Equity long/short were down 0.55% (up 10.56% YTD), arbitrage/event-driven funds were down 0.20%  (up 5.54% YTD), global/macro funds were down 0.64% (up 1.50% YTD) and fixed-income funds were down 0.20% on the month (up 2.63% YTD).

The bright spots, strategy-wise, were short-biased funds, up 1.86%; convertible arbitrage, up 1.42% in August; technology funds, up 0.94%; healthcare and biotech, up 0.40%; high-yield funds, up 0.05%; and opportunistic funds, up 0.04%.

In regional terms, Asia-Pacific funds were down 1.29% on the month (up 0.84% YTD), Latin American  funds were down 1.24% on the month (down 5.31% YTD) and Europe funds were down 0.96% (but still up 8.64% YTD).

“In one of the most volatile months since May of 2012, hedge funds did what they do best, capital preservation,” said Charles Gradante, co-founder of Hennessee Group, in a statement. “Several factors, such as whispers that the Fed may taper its monthly bond purchases, the continued steepening of the yield curve, and possible U.S. involvement in the Middle East, led to a rout in equities during August.  Nonetheless, hedge funds trail equities as ‘don’t fight the Fed’, rather than valuation, rules this market.”


In Depth

David Yarrow On Growing His Hedge Fund And Shooting The Animals And People Of Africa - As A Photographer

Jul 23 2014 | 6:44am ET

While he’s always been a photographer, recent expeditions to Iceland, Ethiopia...

Lifestyle

Einhorns Busts At WSOP, Finishes In 173rd

Jul 15 2014 | 10:48am ET

Greenlight Capital founder David Einhorn’s World Series of Poker won’t end at...

Guest Contributor

Common Risk Parity Misperceptions

Jul 16 2014 | 11:02am ET

Over the past few years, risk parity has become a component of most investors’...

 

Sponsored Content

    Northern Trust Helps Hedge Funds Navigate Derivatives Regulations

    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…

Publisher's Note