Mon, Sep 26, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Along with other indicators, is the hedge fund industry's struggle to protect assets signaling a ‘double dip’?

Wednesday, July 21, 2010

From Kirsten Bischoff, Opalesque New York:

The fear of sliding from a continued, slow, recovery to the double dip of another recession has been a concern ever since the markets began to strengthen in March 2009.

Large firms such as BlackRock continue to express a (conservative) positive outlook even as they acknowledge high levels of uncertainty. “We continue to believe that a variety of structural headwinds will place limits on economic growth prospects, although we view a “double dip” recession scenario as a lower probability outcome,” says Bob Doll in his Q3 outlook.

The VIX is indicating increased worry for future market volatility, and hedge funds have spent the better part of the past three months working diligently to protect assets and, according to the Dow Jones Credit Suisse Hedge Fund Index (DJCS), have entered a new drawdown phase.

The Dow Jones Credit Suisse Hedge Fund Index shows that hedge fund performance strength seen from May 2009 through March 2010 has entered a second drawdown phase. Hedge funds saw a decline of -19.5% (against the Dow Jones Global Index drawdown of -53%) during the previous drawdown, and have currently lost -3.9% from their peak recovery (against the Dow Jones Global Index drawdown of -31.9%).

Credit Suisse recently rebrande......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. North America - Acela fight splits hedge fund Connecticut and old money enclaves[more]

    From Bloomberg.com: Connecticut’s residential coastline is two worlds, the one of newcomer millionaires and one whose wealth and New England roots span generations. Now, their differences over a rail route threaten to gum up plans for the U.S. Northeast’s fastest-ever trains. About 30 miles from Man

  2. Activist News - Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership, Activist investors double chance of CEO exits[more]

    Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership From Calvinayre.com: Casino operator Caesars Entertainment has improved its offer to junior creditors to over $5b, but the offer is only good until Friday. On Wednesday, Caesars added an extra $1.6b to the $

  3. Nobel Sustainability Trust, Prince Albert II of Monaco help launch major new initiative to drive sustainable technologies[more]

    Matthias Knab, Opalesque: The Nobel Sustainability® Trust ("NST") is leading a major new initiative to finance, incubate and accelerate the development of clean technologies. The initiative will start with the formation of the Nobel Sustainability Fund® ("NSF"). NSF will drive faster access t

  4. Hedge funds saw four consecutive months of outflows in August, but assets still up by $17.6bn YTD[more]

    Komfie Manalo, Opalesque Asia: Hedge funds witnessed four consecutive months of outflows with investor redemptions totaling $23.8bn as of end of August, data provider Eurekahedge said in its monthly report. But total hedge fund assets grew by

  5. Trend reversals lead to losses as managed futures drops 1.52% in August[more]

    Komfie Manalo, Opalesque Asia: Trend reversals in August have led managed futures traders to lose 1.52% last month according to the Barclay CTA Index compiled by BarclayHedge. The Index is up 0.62% year to dat