Fri, Jan 20, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

HFRI Fund Weighted Composite Index gains 3.37% in September, 4.59% YTD

Friday, October 08, 2010
Opalesque Industry Update: Hedge funds posted the strongest monthly gains in over a year in September, as global equity markets surged on renewed investor confidence in the global economic recovery. Fixed income and commodities also posted gains for the month, while currencies continued to be volatile on the Bank of Japan intervention to weaken the Japanese Yen and continued US policymaker pressure on China to revalue the renminbi.

The HFRI Fund Weighted Composite Index gained +3.37% for the month, the strongest monthly gain since May 2009 and effectively bringing cumulative index performance to the historical record level (high watermark) previously set in October 2007. All 4 main strategies had positive contributions to index performance as below:

Equity Hedge had the strongest contribution to index performance, with the HFRI Equity Hedge Index gaining +4.50% with significant sub-strategy contributions from Fundamental Growth and Energy/Basic Materials focused funds, which gained +6.32% and +5.88%, respectively. Equity Hedge gains were partially offset by significant weakness in dedicated Short Bias funds, which declined by -10.62% for the month. All other Equity Hedge strategies posted gains for the month bringing the HFRI Equity Hedge (Total) Index YTD performance to +3.46%.

The HFRI Macro Index gained +3.08%, with positive contributions from all Macro sub-strategies as financial market volatility declined broadly and strong, tractable, trending behavior persisted. Both Discretionary and Systematic Macro posted gains of +3.6% and +3.08%, respectively; Active Trading and Commodity focused funds also had significant positive contributions.

Event Driven funds also posted strong performance, with the HFRI Event Driven Index gaining +2.21%. Shareholder Activist and Equity Special Situations funds had the strongest contribution to Event Driven Index, as corporate transaction activity continued to be strong and credit markets remained liquid and accessible. Merger Arbitrage and Credit Arbitrage also posted gains for the month.

Relative Value Funds added to strong YTD performance, with a gain for the HFRI Relative Value Index of +1.41% for September bringing YTD performance to +7.75%, the best area of strategy performance. Strongest areas of sub-strategy performance include Yield Alternative and Real Estate focused funds, while Fixed Income and Convertible Arbitrage sub-strategies also posted gains.

The HFRI Emerging Markets Index gained +5.37%, with the strongest performance from Emerging Asia and the Middle East.

Fund of Hedge Funds posted a gain of +2.44% for September, also the strongest calendar month since May 2009.

(Press release)

Full performance charts available: Source
-KM

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. Investing - This hedge fund made 37% betting on banks in 2016 and remains bullish after the Trump rally, Hedge fund legend David Einhorn is making a big bet on GM, After impressive 85% return in 2016, hedge fund looks to Canadian gold producer, small banks[more]

    This hedge fund made 37% betting on banks in 2016 and remains bullish after the Trump rally From Forbes.com: Can bank stocks continue to rise after a 28% surge in the KBW Bank Index in 2016, fueled by a post-election rally as stock pickers returned to the beaten down sector? Forget the s

  2. SWFs - China sovereign wealth fund CIC plans more U.S. investments[more]

    From Reuters.com: China Investment Corporation (CIC), the country's sovereign wealth fund, is looking to raise alternative investments in the United States due to low returns in public markets, its chairman said on Monday. CIC will boost its investments in private equity and hedge funds as wel

  3. Some hedge funds strong start in 2017 nice contrast to 2016[more]

    With the 2016 HSBC Hedge Weekly performance rankings in the books - a year in which the same leader-board entries pretty much dominated unchallenged throughout the year - comes a new leader board that is a hard-scrabble mix of hedge fund styles and categories. What is clear after but a few short wee

  4. Macro hedge funds and CTAs outperform in December on strong dollar[more]

    Komfie Manalo, Opalesque Asia: The last month of 2016 saw risk assets climbing higher, as part of expectations that the new U.S. administration will remove barriers to growth and investment, Lyxor Asset Management said. December also saw the Fed hik

  5. Opalesque Exclusive: Roxbury credit events UCITS gathers more assets[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: The Roxbury Credit Events Fund, launched in September 2015, was up 4.24% in 2016, having returned seven positive months during the year. The managers raised