Tue, Dec 1, 2015
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Barclay Hedge Fund Index gains 2.88% in December; up 10.86% in 2010, most hedge funds recoup 2008 losses

Tuesday, January 11, 2011

Sol Waksman
Opalesque Industry Update - Hedge funds gained 2.88% in December according to the Barclay Hedge Fund Index compiled by BarclayHedge. The Index is up 10.86% in 2010.

“After two years of strong gains, close to 64 percent of the hedge funds that report data to us have now recovered from losses in 2008,” says Sol Waksman, founder and president of BarclayHedge.

"Although hedge funds underperformed US equities in 2010, +15.07 percent for the S&P 500 versus +10.95 percent for the Barclay Hedge Fund Index, the S&P 500 still remains 8.3 percent below its year-end 2007 close, while the hedge fund index is up 7.59 percent."

Overall, 17 of Barclay’s 18 hedge fund indices had a positive return in December. The Barclay Equity Long Bias Index was up 5.41%, Healthcare & Biotechnology gained 3.37%, Equity Long/Short rose 3.07%, Pacific Rim Equities gained 2.62%, and the Event Driven Index was up 2.43%.

“Equity markets rallied as bullish sentiment returned in December, with investors focused on upward revisions of GDP growth estimates for 2011,” says Waksman.

The same 17 indices all had gains at the end of 2010. Equity Long Bias was up 14.33% for the year, Distressed Securities were up 12.57%, Technology gained 12.41%, Convertible Arbitrage rose 12.23%, and Emerging Markets were up 12.05%.

"Global rallies in equity and fixed income markets in 2010 and compression of credit spreads were the main drivers of return across all hedge fund strategies other than short equities," says Waksman.

The only losing strategy in December was Equity Short Bias, which fell 6.15%. Following a record gain of 40.91% in 2008 when equity markets plummeted, Equity Short Bias lost 18.80% in 2009, and another 14.67% in 2010.

The Barclay Fund of Funds Index gained 1.94% in December, and is up 4.73% for the year. The 2010 performance data for 18 Barclay Hedge Fund Indices is available now at www.barclayhedge.com.

(press release)

Sol Waksman is an experienced media source, providing perspectives on hedge fund and managed futures trends. For more commentary or background, call 641-472-3456 or email swaksman@barclayhedge.com.

BarclayHedge was founded in 1985 and actively tracks more than 5,900 hedge funds, funds of hedge funds, and managed futures programs. Each month Barclay provides updated performance rankings for 38 Hedge Fund categories and 16 CTA categories. Institutional investors, brokerage firms and private banks worldwide utilize BarclayHedge indices as performance benchmarks for the hedge fund and managed futures industries...Full press release: Source

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. David Einhorn's hedge fund plunged 5.2% in November, set for 2015 loss[more]

    From Bloomberg.com: David Einhorn’s main hedge fund at Greenlight Capital fell 5.2 percent in November and is poised for only its second losing year in almost two decades. The losses bring the fund’s yearly drop to almost 21 percent, according to an e-mail sent to clients that was obtained by Bloomb

  2. Other Voices: Hedge fund marketing and the selling cycle[more]

    By Bruce Frumerman. How long is the selling cycle now? That’s a question my financial communications and sales marketing consulting firm has been asked on a regular basis by hedge fund firm owners and sales people, ever since we opened the doors to our firm in 1987 pre-crash. Wa

  3. People - Solus Alternative Asset Management adds chief strategist from BTIG[more]

    From PIonline.com: Daniel Greenhaus joined hedge fund manager Solus Alternative Asset Management as managing director and chief strategist. He will work closely with Chris Bondy, Solus’ chief economist, managing director and executive vice president, said Chris Pucillo, CEO and chief investmen

  4. Commodities - Stung by oil, distressed-debt traders see worst losses since '08[more]

    From Bloomberg.com: It’s mid-November, but for investors who trade in the debt of distressed companies, the year’s already done -- and they lost. Hedge funds that specialize in the debt are grappling with their worst declines in seven years. Funds managed by Knighthead Capital Management, Candlewood

  5. Regulatory - Major changes in partnership audit procedures contained in 2015 Budget Act[more]

    Contained in the Bipartisan Budget Act of 2015, signed by President Obama on November 2, is a rather complex provision that materially changes how partnerships are audited. Generally effective for tax years beginning after December 31, 2017, the so-called “TEFRA” and “Electing Large Partnership” rul