Sat, Oct 21, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Fortress liquid hedge funds down in May, estimated returns for macro fund are -2.46% (-1.80% YTD)

Tuesday, June 07, 2011
Opalesque Industry Update – Few hedge funds are putting up positive estimated returns for May 2011. Exchange traded hedge fund firm Fortress Investment Group today filed their May returns with the SEC revealing the firm’s macro fund (both onshore and offshore) dropped -2.46% during the month and is down -1.80% YTD. The firm’s other liquid hedge funds also delivered negative performance with the Asia Macro Fund down -1.15% (remaining +2% YTD) and the Commodities Fund losing -1.34% (still at +1.24% YTD).

The firm also reported performance on their credit funds for April 2011, which painted a brighter picture. The Drawbridge Special Opportunities Fund was +1/34% (+6.34% YTD), the offshore version of the fund gained +1.44% (+7.33% YTD) and the Fortress Partners Fund gained 0.97% in April (+4.33% YTD) and the offshore version put up +0.82% (+4.07% YTD).

Overall, May was not a good month for hedge funds. Many of the big name funds tracked through the media have delivered negative estimated performance numbers on the month. Other macro managers also struggled with Moore Global giving up approximately 3%, and Caxton Global approximately 2.4%. Macro fund managers have struggled through the stop and start recovery, eyeing quantitative easing and its expected outcomes as well as other government policy risk as a major impediments to their success.

“Macro-fund managers and hedge-fund analysts say that many macro funds weren’t believers in either the U.S. stock rally or the euro’s strength, both of which turned in to missed opportunities, and that at the same time, there was little consensus about where to make profitable trades beyond shorting the U.S. dollar and going long gold,” reports CNBC.

According to research from Bank of America Merrill Lynch, as June opened macro hedge funds were largely focused on buying NASDAQ 100, S&P 500, commodities and 10-year T notes. The bank also says these funds are favoring large caps and added slightly to their US $ shorts.

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. Regulatory - David Stockman: Trump tax reform overhaul is a pipe dream, stocks are heading for 40-70% plunge, Carried interest tax: How much does it matter?, Odey sees 'terrifying' mix in MiFID, tapering, asset values, Hedge funds come together to share cost of MiFID and research, SEC turns up the heat on U.S. investment advisers, India's Sebi asks hedge funds to report investments in commodity derivatives[more]

    David Stockman: Trump tax reform overhaul is a pipe dream, stocks are heading for 40-70% plunge From CNBC.com: David Stockman is warning about the Trump administration's tax overhaul plan, Federal Reserve policy, saying they could play into a severe stock market sell-off. Stockman, the R

  2. North America - Puerto Rico rejects loan offers, accusing hedge funds of trying to profit off hurricanes[more]

    From TheIintercept.com: Puerto Rico has rejected a bondholder group's offer to issue the territory additional debt as a response to the devastation of Hurricane Maria. Officials with Puerto Rico's Fiscal Agency and Financial Advisory Authority said the offer was "not viable" and would harm the islan

  3. Investing - WPP targeted by short-selling American hedge fund, Sun co-founder sells secretive hedge fund on big chip trade[more]

    WPP targeted by short-selling American hedge fund From Cityam.com: An American hedge fund has mounted a bet against WPP, the world's largest advertising group, with a trade worth almost £90m. Lone Pine Capital has built a short position worth 0.51 per cent of the FTSE 100 company,

  4. Hedge funds up as industry adjusts to rising rates[more]

    Komfie Manalo, Opalesque Asia: Hedge funds have reshuffled their portfolio after nearly four weeks of rising rates as the Lyxor Hedge Fund Index was up +0.2% from 19 September to 26 (+1.1% YTD), fuelled by strong results of global macro funds, Lyxor Ass

  5. Manager Profile - How the world's hedge fund king used 'idea meritocracy' to become a billionaire[more]

    From Forbes.com: In 1982, Ray Dalio made what he calls the biggest mistake of his life. He made a bet that there would be an economic collapse stemming from a debt crisis. And he was wrong. He lost money. He lost his client's money. He had to let people go from his firm and borrow money from his dad