Wednesday, 30 July 2014
Last updated 14 min ago
Jun 19 2008 | 2:00am ET
Hedge funds have clawed back into the black, as equity hedge strategies pushed the average hedge fund up more than 2% last month.
Hedge Fund Research’s HFRI Fund Weighted Composite Index is now up 0.11% on the year after returning 2.05% in May. Equity hedge strategies dominated during the month, rising 2.6% on the month overall (down 1.19% year-to-date). Energy and basic materials funds were the strongest performer outside the emerging markets area, returning 4.86% last month (up 2.91% YTD).
Other equity hedge strategies posting a strong May include technology/healthcase (up 3.47% in May, up 0.04% YTD) and quantitative directional (up 2.73% in May, down 0.56% YTD).
Last month’s other notable performers were in emerging markets, with Russia and Eastern Europe funds jumping 5.33% last month, though they remain down 0.71% on the year, and Latin America funds adding 3.08% (up 4.34% YTD).
Emerging markets funds generally added 1.62% (down 3.36% YTD). Event-driven funds rose 1.81% (down 0.77% YTD), macro funds 1.33% (up 4.35% YTD) and relative value funds 1.32% (down 0.73% YTD). Funds of hedge funds returned 1.92% on the month (down 1.45% YTD).
Only two of the myriad HFRI indices and subindices were in the red last month: Short-bias funds suffered during the market rally, dropping 1.94% (up 2.85% YTD) and Asia ex-Japan funds fell a further 0.67% (down 8.95% 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…