Monday, 20 October 2014
Last updated 5 hours ago
Oct 15 2013 | 12:41pm ET
Hedge funds posted widespread gains in September but failed to match the broader markets, buoyed by a rally in stocks.
Seventeen of BarclayHedge's 18 industry indices gained ground last month. The overall Barclay Hedge Fund Index added 2.11% and is up 7.3% on the year.
"The Fed's decision to delay tapering surprised investors and drove equity prices higher through mid-month," BarclayHedge founder Sol Waksman said. "Fears over the possible failure of U.S. budget and debt-ceiling negotiations gained momentum and equity markets sold off in the second half of September, but equities remained profitable on the month as measured by a gain of 5% for the MSCI World Index."
The best-performing strategy in September—and on the year—is healthcare and biotechnology, up 4.26% on the month and 27.91% on the year. "The passage of the Affordable Care Act in the U.S., coupled with the expectation of greater demand for healthcare services due to increases in both population and life expectancy, have had a very positive impact on the sector."
Equity long-bias funds rose 3.65% in September (15.24% YTD), technology funds 3.35% (9.38% YTD), emerging markets funds 2.92%, Pacific Rim equities 2.62% (17.2% YTD) and European equities 2.03%.
Short-bias funds were the only losers on the month, dropping 3.55%. The strategy is down 19.84% on the year.
The Barclay Fund of Funds Index returned 1.33% in September (4.95% YTD).
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...