Saturday, 30 May 2015
Last updated 1 day ago
Dec 6 2006 | 12:32pm ET
Another month, another hedge-fund beating at the hands of the Standard & Poor’s 500.
According to Hedge Fund Research’s HFRX global and strategy indices, hedge funds didn’t lose by much: The HFRX Global Hedge Fund Index returned 1.54% in November, the S&P500 1.65%. But on the year, it’s no contest and hedge funds will need a Christmas miracle to reach double-digits this year, as the HFRX Global index sits at 7.56% year-to-date. The broad-market S&P500, on the other hand, is up 12.2% YTD.
On the bright side, only one of the eight strategies tracked by HFR was in the red last month: equity-market neutral, which dipped 0.53% and has returned only 3.82% YTD. Of the others, equity hedge (up 1.89% in November, 7.62% YTD) and event-driven (up 1.85% last month, 9.39% YTD) were the best performers. Also besting the overall HFRX Global index YTD are merger arbitrage (up 1% in November, 9.86% YTD), relative-value arbitrage (up 1.15% last month, 8.81% YTD) and convertible arbitrage (up 0.6% in November, 8.13% YTD).
The real money this month—and YTD—is in the HFRX Market Directional Index, which returned 2.4% on the month to reach 9.3% on the year. Absolute return funds were not so lucky: the HFRX Absolute Return Index rose just 0.49% last month, and sits at 6.09% YTD.
May 27 2015 | 2:15pm ET
Support Hedge Funds Care, also known as Help For Children (HFC), by participating in this year's raffle. All proceeds go to support HFC's mission of preventing and treating child abuse. Read more…