Tue, Feb 9, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge fund reduce exposure to S&P, underperform index in October

Tuesday, November 05, 2013

Bailey McCann, Opalesque New York:

Hedge funds reduced their exposure to the S&P500 over the past week according to the latest research from Bank of America Merrill Lynch Global Research. October flash returns show hedge funds underperforming the S&P500 index for the month, reverting to a trend that dominated most of the first half of the year. Retuns for October are +1.18% compared to a price return of up 4.86% for the S&P500 index for the same period.

In terms of strategies, Equity Long Short and Event Driven performed the best, up 1.91% and 1.47% respectively. Convertible Arbitrage performed the worst. Market Neutral funds decreased exposure to 7% from 10% net long. Equity Long/Short also reduced market exposure to 23% from 30% net long; below the 35-40% benchmark level. Macros decreased their long exposure to S&P500 and NASDAQ.

The CFTC has resumed releasing position data through October 22,2013 following the US government shutdown. In commodities, funds sharply increased their long positions in Soybeans and increased shorts in corn and wheat. Wheat remains in a crowded short. In metals, funds sold gold and bought silver. In energy, funds bought WTI crude oil, heating oil and gasoline, and reduced their natural gas short.

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

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. Investing - Avenue Capital's Marc Lasry: We like European bank loans, Comment: A bunch of hedge fund managers are chasing the 'dream of crushing a major structural problem'[more]

    Avenue Capital's Marc Lasry: We like European bank loans From CNBC.com: European banks are under immense pressure, but at least one prominent hedge fund has found what it thinks is a good opportunity in the wreckage. Marc Lasry, co-founder and chief executive of hedge fund Avenue Capital

  2. Credit Suisse cherry picks hedge fund ideas[more]

    From FT.com: Credit Suisse Asset Management plans to cherry pick profitable concepts from hedge funds with the launch in Europe of a “best ideas” strategy. The investment arm of the Swiss bank said the strategy will separate it from other funds blighted by “overcrowding problems”. It comes at a time

  3. Investing - Hedge funds bet on risks in U.S. blue-chip debt, Hedge funds bets against bank credit risk paying off, Tiger Global still likes Internet names, gets pointers from Jeter[more]

    Hedge funds bet on risks in U.S. blue-chip debt From WSJ.com: Hedge funds are betting the next bond sector to crack will be the $4.5 trillion market for the safest U.S. corporate debt. New York’s Perry Capital has placed a $1 billion wager against investment-grade bonds issued by 10 comp

  4. Short Selling - Hedge fund manager Kyle Bass is shorting real estate—again, Top US hedge fund has €80m short position in Paddy Power Betfair[more]

    Hedge fund manager Kyle Bass is shorting real estate—again From Fortune.com: He also predicted the mortgage crisis in 2008. Hedge fund manager Kyle Bass, who runs Dallas-based Hayman Capital, tanked the stock of a little-known real estate financier Friday by revealing that he is shorting

  5. HFRU Hedge Fund Composite Index down -2.58% in January[more]

    Global financial markets posted sharp losses in January led by declines in Oil and global equities, though steep intra-month losses in both were narrowed by strong gains in final trading days of the month. Global equities posted steep declines for the month led by Biotechnology, Energy, Financial, E