Mon, May 30, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Scotia Capital Canadian Hedge Fund Performance Index up 3.85% in November, 17.54% YTD

Friday, December 17, 2010
Opalesque Industry Update - The Scotia Capital Canadian Hedge Fund Performance Index finished November 2010 up 3.85% on an asset weighted basis and up 3.05% on an equal weighted basis. The Index outperformed broader equities and global hedge fund indices on both an asset and equal weighted basis.

The rally in broader capital markets continued into the first week of November, then reversed as market participants reacted to a confluence of mixed events and increased volatility. At month’s begin, there was positive market reaction to US mid-term elections results, as well as initial enthusiasm over the Fed’s announcement of its QE2. The S&P finished flat, with losses in six of ten sectors. European sovereign debt concerns rose once again to the fore, driving substantial sell-offs in European equity markets that ensued from Ireland’s acceptance of an EU bailout and the possible contagion to Spain and Portugal. Other contributors to an increase in market volatility were the geopolitical tensions between North and South Korea, as well as renewed discussions in China about cooling economic growth with a potential raise in interest rates. In Canada, the S&P/TSX posted gains of 2.18%, buoyed by positive earnings announcements from larger Canadian companies. Positive contribution from the info tech, materials and energy sectors drove Canadian equity market gains. Commodities experienced a great deal of volatility in November and posted flat aggregate monthly results, despite another midmonth record high in gold and a sizeable uptick in oil. In FX, the biggest move was the EUR’s 6.3% decline versus the USD, driven by weakness in Europe. The USD also strengthened by month end versus the JPY and GBP. Rates widened in November on most developed country government bonds, and credit markets declined, particularly in high yield. In November, most Canadian hedge funds benefitted from a fifth straight month of Canadian equity market strength. Selective stock-picking remained a key success factor in an environment of increased volatility, with gains made on both the long and short sides. Gains were also made capturing commodity-related market moves, especially from the oil and gold sectors. Canadian managers have been making cautious incremental increases to long exposures over the recent past, and are also carefully ratcheting up short exposures in anticipation of further market uncertainty. Across strategies, flexibility and nimbleness remain key leitmotifs.

Description
The aim of the Scotia Capital Canadian Hedge Fund Performance Index is to provide a comprehensive overview of the Canadian Hedge Fund universe. To achieve this, index returns are calculated using both an equal weighting and an asset-based weighting of the funds. The index includes both open and closed funds with a minimum AUM of C$15 million and at least a 12 month track record of returns, managed by Canadian-domiciled hedge fund managers. Corporate website: www.scotiacapital.com/hfpi

- FG

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. Performance - Hedge fund ETFs take a battering, Have long-short credit funds delivered?[more]

    Hedge fund ETFs take a battering From ETFStrategy.co.uk: It was a blow for the hedge fund world when Hillary Clinton’s son-in-law Marc Mezvinsky announced he would be closing his Greek-focused fund after it plummeted in value by 90%, just two years after it launched. For passive investor

  2. Ares Capital to buy American Capital in $3.4 billion deal[more]

    From PIOnline.com: Ares Management's business development company Ares Capital Corp. is buying troubled BDC American Capital for $3.43 billion, said a joint news release by the BDCs and another release by Ares Management. Ares Capital Corp.'s assets are expected to grow to about $13.2 billion when t

  3. Launches - Man Group and American Beacon launch new emerging debt fund, Nikko AM launches new Japan equity UCITS fund[more]

    Man Group and American Beacon launch new emerging debt fund American Beacon Advisors, an experienced provider of investment advisory services to institutional and retail markets, launched the American Beacon GLG Total Return Fund today. The Fund became effective May 20. The America

  4. Emerging markets hedge funds perform strongly, but capital base erodes[more]

    Komfie Manalo, Opalesque Asia: Latin American Emerging Markets and Russian hedge funds lead industry gains in the first months of 2016, posting strong performances through April as global and EM equity, commodity and currency markets surged in recent weeks following steep losses to begin the year

  5. Americas - Australian banks sending U.S. hedge funds broke, Ryan Puerto Rico ‘rescue’ bill could be windfall for hedge funds[more]

    Australian banks sending U.S. hedge funds broke From SMH.com.au: US hedge funds are not having the best of years. Profits are hard to find, they're underperforming and the punters are losing patience, withdrawing US$15 billion ($20.8 billion) in the March quarter. They're expected to wit