Mon, Jan 26, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Risk on, risk off creating a roller coaster ride for hedge funds - Man

Monday, September 13, 2010
Opalesque Industry Updates – “Risk on, risk off is creating a roller coaster ride for hedge funds,” says Michelle McCloskey, Head of Research at listed hedge fund provider Man said in an industry overview released by the firm on Monday. “This month’s flat returns are slightly misleading. Hedge fund returns are widely dispersed. There are some big winners as well as big losers. That’s why we believe that an experienced, well resourced hedge fund allocator can really add value now.”

August performance was focused on dialing back risk in the face of bearish economic fundamentals, says the firm. The firm also points out that:

- Equity hedged managers lost money in August, but succeeded in limiting downside compared to broader financial markets
- Event driven hedge funds lost money as a collapse in post-reorganization equities impacted distressed positions
- Special situations managers struggled to eke out returns despite a busy month for M&A.

Hedge fund indices in August reflected the struggles of the month – with most of the industry returning flat to slightly positive performance. Managed futures returned 3.0% (Eurekahedge) and macro funds delivered +0.93% (Eurekahedge).

“At times like these, when equity related styles are struggling, it is especially helpful to have sizeable allocations to managed futures and global macro. Managed futures has not always been well regarded by institutions but managed futures managers have proven again this year that they can provide great insurance against falling equities,” says McCloskey.

Corporate website: Source

kb

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
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. Commodities - Druckenmiller alums at PointState make $1 billion on oil, Andurand Capital sees oil sliding to $40[more]

    Druckenmiller alums at PointState make $1 billion on oil From Bloomberg.com: Hedge fund manager Zach Schreiber stood on stage at Avery Fisher Hall in New York eight months ago and made a bold prediction. “We believe crude oil is going lower -- much lower,” Schreiber, 42, told the audienc

  2. Investing - David Einhorn discloses a new position in Time Warner, Canyon trimming bets on mortgage bonds after making $7bn[more]

    David Einhorn discloses a new position in Time Warner From FTLeavenworthlamp.com: …Einhorn also disclosed a new position in Time Warner. "Since 2009, TWX has refocused its business into a collection of high quality assets including basic cable networks (Turner and CNN), a movie studio (

  3. Top performing private equity firms you should invest in[more]

    Komfie Manalo, Opalesque Asia: Professor Oliver Gottschalg of Paris-based HEC Business School, also known as Ecole des Hautes Etudes Commerciales de Paris has released his annual ranking of the top performing private equity firms. The 2014 HEC-DowJones Private Equity Performance Ranking

  4. Comment - Why invest in hedge funds if they don't outperform the market?[more]

    From Forbes.com: Hedge funds have always been a bit exotic and an enigma to some, but bottom line they are supposed to produce good returns using a range of strategies including global macro, event driven and relative value (arbitrage). And, sophisticated or high-net-worth individuals (HNWIs) could

  5. Owen Li 'truly sorry' for blowing up $100m of hedge fund’s assets[more]

    From CNBC.com: A hedge fund manager told clients he is "truly sorry" for losing virtually all their money. Owen Li, the founder of Canarsie Capital in New York, said Tuesday he had lost all but $200,000 of the firm's capital—down from the roughly $100 million it ran as of late March. "I take r