Thu, Sep 18, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

February gains for HFRX Global Hedge Fund Index total 0.43%, 2.50% year to date

Tuesday, March 05, 2013
Opalesque Industry Update - HFRX reports that global financial markets posted mixed gains in February, as active currency trading, robust corporate M&A activity and fluid political developments continued to shape investor expectations for 2013.

The firm writes: "US equities posted gains for the month, with leadership from Technology, Semiconductors and Consumer Durables partially offset by declines in Commodity and Energy related exposures. Uncertainly over political elections in Italy contributed to a mixed performance for European equities for February, with a sharp decline in Italian equities leading smaller declines in Spain and the Netherlands, while the UK and Switzerland posted gains. Asian equities were also mixed on continuation of stimulus and inflation targeting measures by the Bank of Japan; the Nikkei, Australia and the Philippines posted gains while equities in China, Hong Kong and India posted declines. The Euro posted a sharp decline against the US dollar on the Italian elections, while the British Pound Sterling touched a 30 month low against the dollar on continued weak growth and a credit ratings downgrade; the US dollar also gained against the Swiss Franc and Japanese Yen. Yields declined across US, Germany, UK, France and the Netherland, with a notable spike in Italian bond yields. Credit and M&A remained strong, with transactions and special situations activity including Heinz, Comcast/NBC Universal, American-US Airways, Liberty Global /Virgin Media. Commodities posted declines across most Energy, Metal & Agricultural exposures, with Oil, Gold, Silver & Wheat all falling for the month. Hedge Funds posted gains for the 7th month out of the last 8, with the HFRX Global Hedge Fund Index gaining +0.43% and the HFRX Market Directional Index posting a gain of +0.62%.

HFRX Equity Hedge Index gained +1.17% in February, posting its 9th consecutive monthly gains for the first time since 2003. The HFRX Fundamental Value Index posted a gain of +1.72%, with the 2-month gain including January comprising the strongest two month gains since 2010. The Index had contributions across European and US sectors including Industrial, Financials and Energy. The HFRX Fundamental Growth Index gained +0.32%, with contributions from global Emerging Markets, US small cap, Cyclical and Financial sectors. HFRX Market Neutral Index gained +0.19% for the period, with gains across fundamental small cap and pairs-trading strategies.

HFRX Event Driven Index posted a gain of +0.45% in February, as corporate activity continued at a robust pace during the month with significant new strategic and financial transactions announcements, as credit markets for deal-financing remained liquid and accessible. The HFRX ED: Special Situations Index gained +1.06%, with contributions from American-US Airways, Anheuser-Busch-Grupo Model, Office Depot-OfficeMax, as well as activist positioning in Apple and Herbalife. The HFRX Merger Arbitrage Index gained +0.26%, with contributions from Heinz, Metlife, PSS World Medical, Liberty Global /Virgin Media, Dell transactions. HFRX ED: Distressed Index gained +0.12% as credit markets remained open accessible to financing leveraged M&A transactions.

HFRX Relative Value Index gained +0.09% in February, with contributions from Convertible and Multi-Strategy Fixed Income Arbitrage strategies. The HFRX RV: Convertible Arbitrage Index gained +1.45% with gains concentrated in both directional credit and volatility exposures in Asia Pacific convertibles; the HFRX Fixed Income - Credit Index gained +0.66%. The HFRX RV: Multi-Strategy Index posted a modest gain of +0.03%, with positive contributions from commodity spread trading strategies and Global credit exposures. The HFRX MLP Index gained +1.92% as MLPs on strong demands for high quality yield from institutional and retail investors.

HFRX Macro Index posted a modest decline of -0.09% in February, with positive contributions from discretionary fixed income strategies and Multi-Strategy managers offset by Systematic CTA and currency exposures. The HFRX Macro: Systematic Diversified Index posted a decline of -0.51% on commodity weakness and short equity exposure. The HFRX Emerging Markets Index posted a gain of +0.24% with contributions across EM currencies, equities and fixed income.

Press release

bc

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. SEC charges 19 investment firms and one trader for breach of Rule 105[more]

    Benedicte Gravrand, Opalesque Geneva: The Securities and Exchange Commission (SEC) started a push to enhance the enforcement of Rule 105 of Regulation M last year to uncover hedge funds and private equity firms that have illegally participated in an offering of a stock after short selling it duri

  2. Fund managers, bullish on Europe, anticipate monetary policy separation of Fed and ECB[more]

    Komfie Manalo, Opalesque Asia: At least 202 fund managers with $556bn of assets under management said that while the European Central Bank (ECB) has eased its monetary policy that sent sentiments towards Europe to pick up, the Fed is expected to hike its rate in the spring of 2015. Investor

  3. Investors looking at other sources for hedge fund-like returns[more]

    Komfie Manalo, Opalesque Asia: Investors who are always on the lookout for higher gains are looking at alternative sources of income, particularly exchange-traded fund industry that generates hedge fund-like returns, according to

  4. News Briefs - Limited partners of investment managers may be subject to self-employment taxes, Just one week left until NYC's Rocktoberfest[more]

    Limited partners of investment managers may be subject to self-employment taxes On September 5, 2014, the Internal Revenue Service (“IRS”) issued Chief Counsel Advice 201436049, concluding that members of an investment manager were subject to self-employment taxes with respect to their e

  5. Opalesque Exclusive: Old Hill Partners launches specialty finance fund[more]

    Bailey McCann, Opalesque New York: Asset-backed lending is starting to heat up again after a prolonged credit squeeze. The Financial Times reports that a record £18.9bn was borrowed from asset-based lenders in the three months to the end of June. Much of this lending is driven by advanc