Friday, 25 July 2014
Last updated 5 min ago
Nov 17 2008 | 9:04am ET
The RBC Hedge 250 Index shed 5.4% last month as the financial crisis continues to ravage the industry.
October’s loss follows September’s 8.05% slide, and leaves the index down 18.2% on the year. Fixed-income arbitrage, convertible arbitrage and event-driven credit hedge funds were especially hard-hit, plummeting 15.44% (down 21.81% year-to-date), 13.6% (down 34.05% YTD) and 11.73% (down 27.43% YTD), respectively. Also in the red last month were multi-strategy, mergers and special situations, and equity long/short funds, which lost 9.38% (down 29.87% YTD), 5.6% (down 21.29% YTD) and 3.67% (down 13.72% YTD), respectively.
On the other hand, the RBC index, which covers investable hedge funds, had more good news that some other indices. Three of the nine strategies covered enjoyed October gains, with macro and equity-market neutral funds adding 0.98% (down 5.59% YTD) and 0.72% (down 4.16%), respectively. The only strategy in the black for the year, managed futures, also posted the best returns of any strategy last month, adding 3.32% (up 11.91% YTD). In September, managed futures was the only strategy in positive ground.
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…