Wed, Apr 23, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Mid-March figures from HFRX show Global Hedge Fund Index up 1.39%, year to date up 3.29%

Tuesday, March 19, 2013
Opalesque Industry Update - The HFRX Daily Indices March 2013 Intra Month Update reveals that hedge funds posted gains over the period, with the HFRX Global Hedge Fund Index gaining +0.86% through mid-March, 3.29% year to date, and the HFRX Market Directional Index posting a gain of +1.39%, 4.94% year to date.

Financial markets extended early 2013 gains into mid-March, as both US and European equities and the US dollar gained through mid-month. US equities eclipsed record highs as the DJIA rose through mid-March, with the S&P 500 approaching a record level while the Nasdaq also posted gains. Broad-based gains were led by sector strength in Financials, Cyclicals, Technology and Telecom; small cap equities also posted strong gains. European equities posted broad-based gains through mid-month as most European currencies fell against the dollar, with equity gains led by Spain, Germany, France, Switzerland and the Netherlands. Asian equities were mixed through mid-month, with another strong gain in Japanese equities complemented by gains in India & Thailand offsetting declines in China, Hong Kong and Australia.

The US dollar gained to a 45 month high against the Japanese yen on continued Bank of Japan stimulus, while rising to 32 month high against the British Pound, and also gaining against the Euro and Swiss Franc. US yields rose as the yield curve steepened, yields fell across Spain, Italy and France, but with little change across Germany, Netherlands or the UK, while commodities gains were led by Natural Gas and Cotton. M&A remained active as credit remained tight, with contribution from positioning in Liberty Global /Virgin Media, Sprint Nextel/Clearwire and the Dell buyout.

HFRX Equity Hedge Index gained +1.39% through mid-March, extending 1Q13 gains and contributing to the 10th consecutive months of gains for Equity Hedge. EH performance was led by growth strategies, with the HFRX Fundamental Growth Index rising +1.73% with contributions from exposure to Technology, Communications and Consumer sectors, as well Emerging Markets and small cap exposure. The HFRX Fundamental Value Index gained +1.40%, with contributions from positioning in large cap exposure to US and European Financials, Telecom and Energy sectors. Equity Market Neutral strategies experienced mixed performance, with the HFRX Market Neutral Index posting a modest decline of -0.07%.

HFRX Event Driven Index posted a gain of +1.29% through mid-March, also extending 1Q13 gains with contributions from Credit and Equity Special Situations strategies. M&A activity accelerated with contributions from transactions in Grupo Model, Aetna/Coventry Healthcare, Liberty Global /Virgin Media, Sprint Nextel/Clearwire. The HFRX Special Situations Index gained +1.60% with contributions from activist positioning and transactions in European financials, Media, Technology and Energy. The HFRX Distressed Index posted a gain of +1.60% as financing for transactions remained accessible and with contributions from American/US Airways.

The HFRX Relative Value Arbitrage Index posted a gain of +0.40% through mid-March, with positive contributions from Convertible and Multi-Strategy Fixed Income strategies, as spreads tightened on improved risk tolerance. The HFRX RV: Convertible Arbitrage Index gained +1.14% with gains concentrated in exposure to Asia Pacific convertibles, while US & European special situations also contributed to gains. The HFRX Fixed Income Credit Index and the HFRX RV: Multi-Strategy Index both extended 1Q13 performance with gains of +0.78% and +0.28%, respectively, with leading contributions from US & Global credit exposures. The HFRX MLP Index continued to lead all strategies for '13 with a gain of +2.00% on continued demand from investors for high quality yield via energy infrastructure exposures.

HFRX Macro Index gained +0.26% through mid-March, with contributions from Currency and Fixed Income strategies & exposures, with mixed performance from quantitative Systematic CTA strategies; managers had tactically increased US exposure on strong gains into February end. The HFRX Emerging Markets Index posted a gain of +1.10% with contributions concentrated in Asia Pacific Fixed Income strategies and Latin American equity. The HFRX Macro: Systematic Diversified Index posted a gain of +0.10% with contributions from long-term strategies and opportunistic currency exposure.

Press release

bc

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Banner
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. …And Finally – Flight attendant has passengers rolling in aisle[more]

    From Orange.co.uk: A video of a US flight attendant turning her safety talk into a comedy routine is proving a huge hit online. More than five million people have watched the clip of Marty Cobb which has her passengers rolling with laughter on a Southwest Airlines flight to Salt Lake City.

  2. Niche Investing – Wealthy investors flock to fine art funds[more]

    From Clickorlando.com: Wealthy investors looking to diversify beyond stocks and bonds are now turning to an unusual money-making vehicle -- the art investment fund. The name says it all: These funds invest in fine art and seek returns by acquiring and selling high-end pieces for profit. Growth

  3. University of Michigan allocates $242m to six managers[more]

    From PIonline.com: University of Michigan, Ann Arbor, invested or committed a total of $242 million to one traditional equity manager and five alternative investment funds from its $9 billion endowment. University regents approved the hire of Mittleman Investment Management to run $35 million in act

  4. Performance – Odey flagship hedge fund suffers brutal March as shorts rise, Blackstone first-quarter profit rises 30% on higher fees[more]

    Odey flagship hedge fund suffers brutal March as shorts rise From Valuewalk.com: The tide has turned for the worse for one of Europe’s best performing hedge funds. Crispin Odey’s flagship hedge fund, Odey European has suffered a 4.63% decline for the year after slipping 7.2% in March, ac

  5. Agecroft Partners estimates 90% of hedge funds using social media[more]

    The use of social media has increased significantly within the hedge fund industry over the past couple of years. Social media is broadly used by investors as part of their due diligence process on hedge funds, by service providers in their sales efforts to hedge funds, and by hedge funds to enhance