Fri, May 25, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Hedge funds positive for 8th month +1.17 (est) through February (+1.36%) - Eurekahedge

Thursday, March 10, 2011
Opalesque Industry UPdates - Hedge funds were up for the eighth consecutive month in February as managers took advantage of buoyant market sentiment appetite and rallying underlying markets. The Eurekahedge Hedge Fund Index was up 1.17%1 through February, with the year-to-date return at 1.36%. The MSCI World Index gained 2.75%3 during the month.

Assets under management cross US$1.7 trillion for the first time since September 2008.

Global hedge fund assets up 13.4% since start of July 2010.

Hedge funds witness eighth consecutive month of positive returns.

North American hedge funds gained 2.08% in February and are up 14.57% over the last six months.

Japanese hedge funds gained 1.92% in February and are up 10.15% over the last six months.

Distressed debt hedge funds are the best performing of 2011 so far, with gains of 3.94%.

58% of hedge funds are above December 2008 watermark.

Regional Indices
North American hedge funds delivered the best performance amongst the major hedge fund regions1, gaining 2.08% in February. The S&P500 was up 3.20%, during February, reaching a 32-month high during the third week of the month. Increased risk appetite during the first three weeks led to a sustained rally in the equity markets, as better-than-expected corporate earnings and increasingly positive outlook on the global economy led market sentiment. Managers in the merger & acquisition space also took advantage of the healthy corporate activity with a number of funds benefitting from the Sanofi-Aventis and Genzyme deal. February was the sixth consecutive month of positive returns for North American managers, with the Eurekahedge North American Hedge Fund Index gaining 14.57% during this period.

Most other regions also delivered positive returns, with Japanese hedge funds gaining 1.92% in February as the strong corporate activity continued in the market. Funds investing in financial and insurance stocks, as well as material and mining companies, posted healthy gains – the Nikkei 225 was up 3.77% % during the month. Returns from European hedge funds were also positive in February, up 0.57%, while Eastern Europe & Russia investing funds gained 1.66%. Asia ex-Japan hedge funds witnessed losses to the tune of 0.83%, amid declines in underlying markets – the MSCI Asia Pacfic ex Japan Index was down 2.36%.

Strategy Indices
All strategic mandates registered positive returns for February, with distressed debt managers once again coming out on top and extending their winning run into a sixth consecutive month. The increased risk appetite and the rallies in equity markets also translated into gains for high yield – the Merrill Lynch US High Yield Index was up 1.34% during the month while the average distressed debt manager raked in gains of 2.11%. CTA/managed futures funds also witnessed some hefty profits, gaining 1.90% in February as energy and precious metals witnessed price jumps due to political tensions in the Middle East – the S&P Goldman Sachs Commodity Index was up 3.75%. Long/short equity managers also finished the months with strong gains, up 1.14%, capitalising on the buoyant equity markets.

Full performance tables: Source

(press release)

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. Investing - Hedge funds hike Smurfit Kappa positions amid takeover deal hopes, Hedge fund IBV Capital digs deep to unlock long-term value in a competitive market, Eisman of 'The Big Short' fame recommends shorting Deutsche Bank[more]

    Hedge funds hike Smurfit Kappa positions amid takeover deal hopes From Irishtimes.com: Two US hedge funds, Davidson Kempner and York Capital, have accumulated a combined 4.74 per cent interest in cardboard box maker Smurfit Kappa using financial derivatives. It comes as many investors cl

  2. Foundations of hedge fund managers gave big to controversial donor-advised funds[more]

    In the world of philanthropy and tax-deductible charitable giving, the explosion of donor-advised funds has touched off intense debate. Now, there is evidence that the DAF boom is being further fuelled by hedge fund foundation money. Four of the top five foundations that gave the most to large do

  3. Third Point to raise $400 million for SPAC, Farley to run it[more]

    From Reuters.com: Daniel Loeb's hedge fund Third Point LLC plans to raise $400 million for a "blank check" company which will be run by outgoing stock market operator NYSE Group President Thomas Farley, according to a regulatory filing made on Tuesday. The new company, referred to on Wall Stre

  4. Study: For hedge funds, smaller is better[more]

    From Institutionalinvestor.com: The smaller the hedge fund is, the better its performance is likely to be, according to a new study. The study - "Size, Age, and the Performance Life Cycle of Hedge Funds," released April 26 - sought to determine whether a hedge fund's size and age had any effect on i

  5. Hedge fund returns rose in April for first gain since January[more]

    From Bloomberg.com: Bloomberg Hedge Fund Database shows returns flat this year - Currency strategies had the biggest monthly gain at 13% Hedge fund returns increased 0.78 percent in April, reversing two consecutive monthly declines. The swing of 134 basis points was driven by gains in all seven