Fri, Mar 6, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Credit hedge funds continue rally - Millstreet up 3.99%

Tuesday, July 22, 2014

Bailey McCann, Opalesque New York:

Millstreet Capital Management has posted a positive quarterly return for its credit fund - Millstreet Credit Fund. The fund generated a net return of 3.99% for the quarter, and monthly returns of +1.34% net in April, +1.08% net in May, and +1.52% net in June. Year-to-date, the fund earned a net return of +8.58% according to an investor letter obtained by Opalesque.

Over the past twelve months, the fund is up +17.28%. Since inception, the fund’s returns have been +44.66% with a Sharpe ratio of 1.5.

The fund outperformed a handful of credit indices including the Citigroup High Yield Market Index, Credit Suisse Leveraged Loan Index, and HFRI RV: Fixed Income-Corporate Index, which averaged a return of 2.17% for the quarter.

On an exposure basis within the credit universe, fixed income saw broad based highs with emerging market bonds, investment grade bonds, and 10-year treasuries all posting returns above 2.5%. High Yield was also positive despite trailing fixed income investments.

The High Yield market is showing some resiliency, however, the market benefitted from the rally in 10-yrs. Stronger new homes and jobs data also bolstered returns even though GDP estimates were revised downwards. Yet, as spreads continue to widen, the letter notes that Millstreet is positioning itself away from the High Yield market. They have also steadily increased their hedges since the beginning of the year.

The firm sees greater oppor......................

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. SkyBridge opens office in Palm Beach County[more]

    Where better for a southern location than South Florida? SkyBridge Capital, which is headquartered in New York, has opened an office in Palm Beach Gardens. Palm Beach Gardens is a "Signature City" in northern Palm Beach County, with a population of around 49,000.

  2. Outlook - Philippe Jordan predicts 'alternative beta' to displace hedge funds, Stan Druckenmiller says Europe, Japan stocks will outpace U.S.[more]

    Philippe Jordan predicts 'alternative beta' to displace hedge funds From Investordaily.com.au: The disappointing performance of hedge funds in recent years is a result of "too much money chasing too little alpha", argues Capital Fund Management. Speaking to InvestorDaily, CFM partner Phi

  3. Investing - As rig count falls, hedge funds pile into long crude futures, Parus tactically shifts long/short exposure ratios, Mario Draghi outflanking Kuroda as bearish euro bets surge, Prime Capital’s 500.com bet derailed after 41% drop[more]

    As rig count falls, hedge funds pile into long crude futures From 247wallst.com: In the week ended February 27, the total number of rigs drilling for oil in the United States came in at 986, compared with 1,019 in the prior week and 1,430 a year ago. Including 281 other rigs mostly drill

  4. Outlook - 5 reasons why 2015 is looking like a breakout year for alternative investments, Hedge fund manager Dan Loeb predicts disappointment for funds seeking energy distress[more]

    5 reasons why 2015 is looking like a breakout year for alternative investments From Forbes.com: …After a strong 2014, the public markets have been off to a choppy start in 2015. This year, savvy investors may be looking for alpha elsewhere. For many institutions and high-net-worth indivi

  5. Event-driven strategies lead hedge fund gains in February while CTA rally shows signs of fatigue[more]

    Komfie Manalo, Opalesque Asia: Hedge funds ended February on a good note (+0.8%), confirming the positive momentum witnessed since the start of the year, reported Lyxor Asset Management in its Weekly Briefing. As of the end of February, the Lyxor He