Fri, Sep 19, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge funds take on defensive positions

Wednesday, July 18, 2012

Bailey McCann, Opalesque, New York: Macro hedge funds are taking on defensive positions according to a new report from Bank of America Merrill Lynch Global Research. Macros are maintaining their preference for large-cap,and adding to their shorts in the S&P 500 and NASDAQ 100, partially covered commodities and 10-year Treasuries. According to Mary Ann Bartels, lead hedge fund analyst for Bank of America Merrill Lynch, Market Neutral funds bought market exposure to 4% from 3% net long. Equity Long/Short maintained market exposure at 23% net long, well below the 35-40% benchmark level.

The investable hedge fund composite index was up 0.29% last week (as of July 11), compared to down 2.37% for the S&P 500. CTAs and Macros had the best week, Equity Long/Short performed the worst. According to BofA's models, Equity Long/Short funds have reduced their large cap and quality tilt.

In Commodities, funds continued to buy soybean, corn and wheat while selling out of gold, silver and covering shorts in copper. In Currencies, funds added to their shorts of the Euro, while beginning to buy the US Dollar again. Notably, funds doubled their notional Yen positions to $1.4bn notional from $0.7bn notional last week.

......................

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. SEC charges 19 investment firms and one trader for breach of Rule 105[more]

    Benedicte Gravrand, Opalesque Geneva: The Securities and Exchange Commission (SEC) started a push to enhance the enforcement of Rule 105 of Regulation M last year to uncover hedge funds and private equity firms that have illegally participated in an offering of a stock after short selling it duri

  2. Fund managers, bullish on Europe, anticipate monetary policy separation of Fed and ECB[more]

    Komfie Manalo, Opalesque Asia: At least 202 fund managers with $556bn of assets under management said that while the European Central Bank (ECB) has eased its monetary policy that sent sentiments towards Europe to pick up, the Fed is expected to hike its rate in the spring of 2015. Investor

  3. News Briefs - Limited partners of investment managers may be subject to self-employment taxes, Just one week left until NYC's Rocktoberfest[more]

    Limited partners of investment managers may be subject to self-employment taxes On September 5, 2014, the Internal Revenue Service (“IRS”) issued Chief Counsel Advice 201436049, concluding that members of an investment manager were subject to self-employment taxes with respect to their e

  4. Institutions - Adviser's faith in hedge funds unshaken by CalPERS' move Advisers weigh in on CalPERS’ decision, Gina Raimondo sees no reason to follow California’s lead, exit hedge funds, Danish pension funds step up 'alternative investments'[more]

    Adviser's faith in hedge funds unshaken by CalPERS' move From WSJ.com: Financial advisers who use hedge funds in their clients' portfolios say they aren't rethinking that approach after a huge California pension fund announced plans to exit the hedge-fund market. The decision by the Cali

  5. Short Selling - Notorious U.S. short-seller targets Alibaba[more]

    From Wantchinatimes.com: A notorious American short-seller appears to have "targeted" Chinese internet giant Alibaba on the eve of its historic public listing on the New York Stock Exchange, reports Chinese web portal Hexun. Alibaba's highly-anticipated listing on Friday could potentially be the big