Tue, Oct 6, 2015
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Hedge funds post inflow of $2.9bn in January, month six of inflows - TrimTabls/BarclayHedge

Monday, March 14, 2011
Opalesque Industry Update – TrimTabs Investment Research and BarclayHedge report that the hedge fund industry posted an estimated inflow of $2.9 billion (0.2% of assets) in January 2011, the sixth straight inflow.

“This inflow is very bullish for the industry because January typically delivers a heavy redemption related to year-end,” said Sol Waksman, founder and President of BarclayHedge. “Additionally, February is historically a strong month for new fund subscriptions, and our preliminary data suggests the industry took in as much as $10.0 billion last month.”

Hedge fund investors exhibited a weaker appetite for risk in January. All six equity fund strategies redeemed assets, and the emerging markets outflow marked the first since July 2010. Meanwhile, fixed income funds received $3.5 billion (2.0% of assets), the largest inflow since February 2008.

“Hedge fund managers are also exercising some caution,” explained Vincent Deluard, Executive Vice President of Research at TrimTabs. “Speculative traders are now modest sellers of U.S. equity futures. They exhibited terrific timing by reversing course at about the time the market peaked in February. Also, short interest increased 1.4% last month. Managers appear to be thinning their long books and boosting their hedges, albeit modestly.”

Funds of hedge funds redeemed $3.6 billion (0.7% of assets) in January, the third straight outflow as well as the heaviest since January 2010. Commodity trading advisors (CTAs) took in $2.8 billion (1.0% of assets), the tenth inflow in 11 months. Meanwhile, macro funds received $1.2 billion (1.2% of assets), the seventh straight inflow.

“Macro funds hauled in 11.8% of assets in the past year, easily the heaviest inflow of any strategy, even though they underperformed the industry by 490 basis points,” noted Deluard. “Macro themes—turmoil in the Middle East, currency wars, sovereign debt crises, central bank asset purchases—have been peppering markets, and hedge fund investors are banking on macro managers to navigate them with skill.”

The TrimTabs/BarclayHedge database tracks hedge fund flows on a monthly basis. The TrimTabs/BarclayHedge Hedge Fund Flow Report provides detailed analysis of these flows as well as relevant topical studies. Click here for further information.


(press release)


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. U.S. hedge funds prepare for worst finish this year since 2008[more]

    Komfie Manalo, Opalesque Asia: U.S.-focused hedge funds are preparing for their worst year since the 2008 global financial crisis, following a series of letdown including the market sell-off in August and the sell-off in healthcare and biotechnology sectors last month, reported

  2. Investing - AQR Capital and Renaissance Technologies raise stakes in Southwest Airlines[more]

    From Marketrealist.com: In the previous part of this series, we saw how institutional investors played Southwest Airlines (LUV) in 2Q15. Now let’s move on to the trades executed by key hedge funds in Southwest Airlines over the same period. … Most of the hedge funds that had significant exposu

  3. DoubleLine’s Jeffrey Gundlach warns of another round of market shakedown[more]

    Komfie Manalo, Opalesque Asia: DoubleLine Capital co-founder Jeffrey Gundlach is painting a bleak future as he warned that the U.S. equity market and other risk markets, such as high-yield "junk" bonds, are facing another round of selling pressure. Gundlach said in an interview with

  4. A hedge fund strategy that seems to have fizzled[more]

    From Gulfnews.com: The hedge fund strategy that has attracted the most money this year is on course to cause some of the biggest losses for investors, in the latest example of the dangers of going with the crowd. Institutions and individuals have piled an estimated $20 billion (Dh73 billion) into ma

  5. Hedge fund Barnegat survives September’s market selloff[more]

    Komfie Manalo, Opalesque Asia: Bob Treue’s $679 million Barnegat Fund proved resilient after another month of market letdown as the hedge fund gained 2.2% last month, bringing its year-to-date gains to 2.8%. Treue said in his monthly report to i