Tuesday, 25 October 2016
Last updated 5 hours ago
Jan 14 2008 | 1:02am ET
TrimTabs Investment Research and BarclayHedge said today that hedge funds posted an estimated inflow of $21.8 billion in November. Funds of hedge funds received an estimated $18.9 billion, while direct investment into hedge funds totaled an estimated $2.9 billion.
By far the most popular hedge fund category in November was emerging markets, which posted an estimated inflow of $5.7 billion. “Hedge fund investors continue riding the emerging markets wave, lifting the year-to-date inflow into Emerging Markets to a hefty $36.9 billion,” said Sol Waksman, CEO of BarclayHedge. “But most of them could have achieved far better returns had they simply invested in a product tracking the MSCI Emerging Markets Index.”
The only hedge fund category posting an outflow in November was merger arbitrage, which lost an estimated $2.7 billion, its second consecutive outflow.
“The hedge fund industry’s 1.6% loss in November was its worst performance since May 2006,” said Charles Biderman, CEO of TrimTabs. “Yet hedge funds managed to post a solid inflow even as equity mutual funds lost $10.9 billion.”