Thu, Nov 27, 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. Unlucky Paulson & Co. rebrands $1.6bn Recovery Fund after 13% drop[more]

    From Businessweek.com: A maturing U.S. economic recovery is prompting Paulson & Co. to change course. The $19 billion hedge fund firm, led by billionaire John Paulson, told investors on a conference call this month that the Paulson Recovery Fund will be renamed Paulson Special Situations Fund on Jan

  2. Opalesque Roundtable: Islamic Finance races ahead with Sukuk, the first managed account platform, and foreign demand[more]

    Komfie Manalo, Opalesque Asia: A number of developments took place within Islamic finance in the past years, including the launch of a Islamic managed account platform and the further growth of the sukuk space that saw this instrument evolve from being a type of an ABS security that was rarely

  3. CTAs , event-driven strategies lead hedge funds recovery in mid-November[more]

    Komfie Manalo, Opalesque Asia: November’s performance proves to be in sharp contrast to the previous month, with equities further consolidating their upswing last week, according to the latest Lyxor Asset Management’s Weekly Brief. CTA funds als

  4. Fund Profile - A complex hedge fund strategy works for United Technologies[more]

    From Institutionalinvestor.com: Reports that portable alpha is dead have been greatly exaggerated, as Mark Twain might have phrased it. Another Connecticut Yankee, giant United Technologies Corp., is gearing up to grow its successful, nearly decade-long portable-alpha program. The UTC strategy took

  5. Opalesque Exclusive: The unintended consequences of Basel III[more]

    Benedicte Gravrand, Opalesque Geneva: Bijesh Amin, co-founder and managing director of Indus Valley Partners (IVP), a technology solutions and services firm focused on the alternative asset management industry, has recently observed