Sun, Oct 26, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Scotia Capital Canadian Hedge Fund Index finished December 2010 up 2.23% (20.16% YTD) on asset weighted basis

Wednesday, January 19, 2011
Opalesque Industry Update - The Scotia Capital Canadian Hedge Fund Performance Index finished December 2010 up 2.23% (YTD 20.16%) on an asset weighted basis and up 2.20% (YTD 14.78%) on an equal weighted basis. The Index underperformed broader equities and global hedge fund indices in December, but closed out 2010 with strong outperformance on the year relative to benchmarks on both an asset and equal weighted basis.

Broader equities rallied in December during a relatively quiet month with low trading volumes and decreased volatility. While European sovereign debt and inflation concerns remained at the fore, positive US macroeconomic data contributed to a favourable environment for market participants. In the US, the S&P rebounded, as all ten sectors contributed positively. In Canada, the S&P/TSX advanced a further 3.79%, to finish the year up 14.45%. Gains were slightly dampened by the IT and telecom sectors.

Most commodities advanced in December, especially oil and energy-related resources. Gold was up 2.51%, closing the year up nearly 30% at a record high of $1,421. Silver finished 2010 at $30.92, up a noteworthy 83.18% on the year. In FX, the USD depreciated against major currencies, closing December slightly under par to the CAD. Rates widened again in December on most developed country government bonds, while credit markets rallied.

Canadian hedge fund performance was slightly muted this month relative to broader hedge fund benchmarks. In line with global peers, most Canadian hedge funds took advantage of equity markets’ relative strength, with gains generally made on long equity exposures. The decreased volatility made for a challenging environment for tactical trading. Early December noise in bond markets created some difficulty in fixed income trading, but most managers were able to generate gains on these books by month end.

Commodity-related moves were another positive performance driver. Canadian managers continue to maintain relative caution with net exposures.

(press release)


Table and chart: Source


www.scotiacapital.com


Bg

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   

Banner

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 - Oil wreaking havoc on small-cap energy stocks sliding 36%[more]

    From Bloomberg.com: Owning almost anything in the U.S. stock market has been a losing proposition since September. Owning smaller energy companies has been a catastrophe. Hercules Offshore Inc. and Resolute Energy Corp. are among 19 oil-and-gas equities in the Russell 2000 Index that lost more than

  2. Investing - Hedge funds favor equity long/short, Strategic bond managers hedge against further high yield sell-off[more]

    Hedge funds favor equity long/short From Securitieslendingtimes.com: Equity long/short strategies will generate good returns for hedge funds in the future, according to a panel at this year’s Risk Management Association Conference on Securities Lending in Naples, Florida. Panellists Sand

  3. Legal - Ex-hedge fund analyst weeps as judge hands down 5 year sentence, Former Columbus investment manager Steven P. Moore indicted on theft charges, SEBI confirms ban for Hong Kong hedge fund, SEC announces enforcement action against compliance officer[more]

    Ex-hedge fund analyst weeps as judge hands down 5 year sentence From Hereisthecity.com: An ex-hedge fund analyst was sentenced to 5 years in prison for his role in insider-trading scheme. The New York Post reports that former hedge fund analyst Matthew Teeple was sentenced Thursday to fiv

  4. Goldman in talks to acquire IndexIQ[more]

    From Bloomberg.com: Can Goldman Sachs put ETF investors on a liquid diet? Goldman is in talks to acquire IndexIQ, Reuters has reported. Index IQ is a small exchange-traded-fund firm known mostly for products that replicate hedge fund strategies, called "liquid alternative" ETFs. While IndexIQ has 11

  5. Other Voices: CALPERS dilemma should be a warning to hedge funds wanting institutional investors[more]

    From Ian Hamilton, founder of IDS Group. A quick comment on the CALPERS’ disinvestment from the hedge fund market and the jitters it is causing. Pension Funds should not be sheep and follow CALPERS’ decision as the issues that CALPERS has with hedge fund investments are in many ways unique t