RBC: Event-Driven, Long/Short Funds Drive Sept. Returns

Oct 15 2009 | 9:43am ET

Hedge funds rose 2.2% last month, according to new figures from RBC Capital Markets.

The RBC Hedge 250 Index was paced by strong returns from event-driven credit and equity long/short funds. The former rose 3.85% in September (17.49% year-to-date) while the latter added 2.7% (23.42% YTD). The overall index is up 17.44% this year.

Fixed-income arbitrage funds also put in a strong month, rising 2.67% (17.26% YTD). Managed futures funds added 2.17% (3.97% YTD), mergers and special situations funds 2.15% (26.3% YTD) and multi-strategy funds 1.82% (12.42% YTD).

The year’s best-performing strategy, convertible arbitrage, trailed its peers in September with a return of just 1.1%. Despite that, and its 0.39% decline last month, it remains far-and-away the strongest strategy of 2009 with a 60.08% return.

Just one of the RBC index’s substrategies lost ground last month: equity market-neutral, which fell 1.18% on the month, but is up 1.99% on the year.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

The healthcare sector went on a tear beginning in 2011, thanks in large part to the passage of the Affordable Care Act and its impending implementat