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

83% of hedge funds report losses in August, Barclay Hedge Fund Index down 3.42% (-2.50% YTD)

Monday, September 19, 2011
Opalesque Industry Update – Most hedge fund strategies experienced widespread and significant losses in August, contributing to a 3.42% fall in the Barclay Hedge Fund Index compiled by BarclayHedge. Year-to-date, the Index is down 2.50%.

“In what has been the worst month since Lehman’s failure in September 2008 when hedge funds dropped 6.99 percent, more than 83 percent of the 3,120 funds that have so far provided us with an August return have reported a loss,” says Sol Waksman, founder and President of BarclayHedge.

“The Barclay Hedge Fund Index is now in negative territory for the first time in 2011.”

All but one of Barclay’s 18 hedge fund indices had losses in August. The Equity Long Bias Index dropped 5.42%, Healthcare & Biotechnology fell 5.20%, European Equities were down 4.92%, Emerging Markets lost 4.85%, and the Distressed Securities Index was down 4.05%.

“Markets panicked,” says Waksman. “The threat of a banking system crisis triggered by a sovereign debt default coupled with a lack of political leadership and a weakening economic outlook drove investors to seek shelter from the storm.”

The one strategy that proved profitable was the Barclay Equity Short Bias Index, which soared 7.25%. Equity Short Bias is now up 6.07% through August.

“After eight months of difficult trading conditions, hedge fund managers trading the short side of equity markets have made a strong comeback over the past four months,” says Waksman.

“Short sellers had their largest one-month gain since October 2008, when stocks plummeted and Equity Short Bias funds gained 12.27 percent.”

The Barclay Fund of Funds Index lost 2.44% in August, and is down 2.86% year-to-date.

(press release)

Performance tables: www.barclayhedge.com


BG

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. With $54bn in assets, Philippines is ready for hedge funds, alternative investment products[more]

    Komfie Manalo, Opalesque Asia: With the country's outstanding fund management industry at $54bn and growing, the Philippine market and its investors are ready to invest in "more sophisticated" asset management products, like hedge funds and alternative investments, said Deanno J. Basas, presi

  2. SoftBank to buy Fortress Investment for $3.3bn[more]

    From Reuters.com: Japan's SoftBank Group Corp on Wednesday said it has agreed to buy Fortress Investment Group LLC for about $3.3 billion, looking to add investment expertise as it prepares to launch the world's largest private equity fund. The all-cash deal is SoftBank's first major investmen

  3. ...And Finally - Truth in advertising[more]

    From Newsoftheweird.com: Girl Scout Charlotte McCourt, 11, of South Orange, New Jersey, saw her sales zoom recently when she posted "brutally honest" reviews of the Scouts' cookies she was selling -- giving none of them a "10" and labeling some with dour descriptions. She was hoping to sell

  4. Europe - Brexit - Updated legal guide, Euro exchange rates set to tumble as hedge fund's super computer predicts Marine Le Pen will be next French president, Swiss fund market hits all-time high[more]

    Brexit - Updated legal guide From Herbertsmithfreehills.com: When we began analysing in depth the possibility of Britain exiting the EU (Brexit), 18 months prior to the June 2016 referendum, the business consensus was very much that Brexit was a remote prospect that either would never hap

  5. People - Gramercy appoints Bradshaw McKee as managing director of Capital Solutions, Trump taps Cerberus's Feinberg to lead intelligence review[more]

    Gramercy appoints Bradshaw McKee as managing director of Capital Solutions Gramercy Funds Management LLC, a $5.8 billion dedicated emerging markets investment manager, today announced the appointment of Bradshaw McKee to the position of Managing Director, Capital Solutions and Distressed