Thu, Apr 24, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge funds end the year positively, outperform S&P in Q4

Wednesday, January 09, 2013

Bailey McCann, Opalesque New York:Hedge funds ended 2012 on a positive note returning an average of +1.5% in December, +1.8% in Q4 and ending the full year +7.3%. Returns lagged broad equity markets for the year, but outperformed in Q4 and many strategies produced strong returns for the year, according to new data from eVestment. Many strategies returned nearly 10%, with credit, volatility and emerging markets producing the year’s best returns.

Credit funds were the stars of 2012, outperforming equities and overtaking them in assets under management for the first time on record. Credit funds were up 12% over equity funds in 2012 overall. Mortgage funds followed credit, returning over 60% in the last 3 years, nearly 5x better than the average hedge fund.

FX, CTAs and equities funds all had a rougher year. Despite FX funds’ strong December on the back of a parabolic JPY/USD move, the group ended the year with some of the lowest returns out of all hedge fund strategies at 2.22%. Managed Futures rallied near the end of the year but not enough to end the year in positive territory. The strategy closed 2012 down -0.71%

Overall, the industry saw approximately $40bn of inflows through November despite often choppy performance - almost doubling last year's full total. This year is already on track to be equally tumultuous, with fiscal cliff/drag, taxes and more regulation on deck for the alternatives industry.

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

To view our full article Click here

Banner
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. …And Finally – Flight attendant has passengers rolling in aisle[more]

    From Orange.co.uk: A video of a US flight attendant turning her safety talk into a comedy routine is proving a huge hit online. More than five million people have watched the clip of Marty Cobb which has her passengers rolling with laughter on a Southwest Airlines flight to Salt Lake City.

  2. Niche Investing – Wealthy investors flock to fine art funds[more]

    From Clickorlando.com: Wealthy investors looking to diversify beyond stocks and bonds are now turning to an unusual money-making vehicle -- the art investment fund. The name says it all: These funds invest in fine art and seek returns by acquiring and selling high-end pieces for profit. Growth

  3. Opalesque Exclusive: Rainwater and Blue Sky - an Australian water fund emerges[more]

    Bailey McCann, Opalesque New York: Financial reporters often tout new funds and investments as uncorrelated investments, but few can say they are uncorrelated to everything but weather. Enter Blue Sky Alternative's water fund which invests in the permanent rights to Australia's water. Sev

  4. University of Michigan allocates $242m to six managers[more]

    From PIonline.com: University of Michigan, Ann Arbor, invested or committed a total of $242 million to one traditional equity manager and five alternative investment funds from its $9 billion endowment. University regents approved the hire of Mittleman Investment Management to run $35 million in act

  5. Performance – Odey flagship hedge fund suffers brutal March as shorts rise, Blackstone first-quarter profit rises 30% on higher fees[more]

    Odey flagship hedge fund suffers brutal March as shorts rise From Valuewalk.com: The tide has turned for the worse for one of Europe’s best performing hedge funds. Crispin Odey’s flagship hedge fund, Odey European has suffered a 4.63% decline for the year after slipping 7.2% in March, ac