Hedge Funds Miss March Rally, Rise 1.5%

Apr 13 2009 | 2:06am ET

Hedge funds bounced back in March, erasing their February losses and finishing the first quarter in positive territory, according to preliminary figures from Greenwich Alternative Investments.

The average hedge fund added 1.5% last month, badly lagging the equities rally: The Standard & Poor’s 500 Index returned 8.8% in March. But the Greenwich Global Hedge Fund Index trounced the broader markets in the first quarter, ending the first three months of the year up 0.4% while the S&P500 is down 11%.

Three out of four major strategy groups tracked by Greenwich AI finished March up, led by specialty strategies funds, which returned 3.1% (1.9% year-to-date), and long/short equity funds, which returned 2.5% (down 0.1% YTD). Market neutral funds rose 0.9% last month (1.6% YTD), while direction trading funds shed 1.1% on the month (down 0.7% YTD).

Among individual strategy indices, emerging markets finished on top, rising 4.8% in March (1% YTD). Value funds (3.3% in March, 0.4% YTD), convertible arbitrage funds (2.9%, 9.6% YTD), growth funds (2.7%, down 0.6% YTD) and special situations funds (2.5%, 2.4% YTD) also enjoyed an above-average March.

Just three of Greenwich AI’s strategy indices ended the month in the red: Short-sellers were victimized by the equities rally, dropped 5.7% (down 1.4% YTD), while futures funds (down 2%, down 2.1% YTD) and arbitrage funds other than convertible, fixed-income and statistical (down 1.7%, down 0.5% YTD) also lagged.


In Depth

Q&A: Open Season For Closed-End Funds

Aug 29 2014 | 10:00am ET

When Maury Fertig and Bob Huffman, former Salomon Brothers coworkers, launched...

Lifestyle

Och Funds Women In Finance Initiative At U-M

Aug 28 2014 | 3:01pm ET

Och-Ziff Capital founder Daniel Och and his wife have made a "generous donation"...

Guest Contributor

Looking Ahead: What’s In Store For Managed Futures?

Aug 22 2014 | 12:52pm ET

The last five years were phenomenal for investors in equity indices. Will the next...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    Aug 25 2014 | 11:21am ET

    As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…

 

Futures Magazine

July/August 2014 Cover

The time was right

Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.