Tue, May 26, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

HFN Hedge Fund Aggregate Index up 2.03% in November, +18.66% YTD, hedge fund assets increased 3.39% to $2.037tln

Wednesday, December 09, 2009
Opalesque Industry Updates - HFN released early estimates for November performance and asset flows.

Highlights:

Hedge fund assets passed the $2 trillion mark in November driven both by performance and new allocations.

  • Total assets increased 3.39% to $2.037 trillion. Assets were last above $2 trillion in November 2008.
  • Investors allocated $26.3 billion to hedge funds in November, performance increased assets an additional $40.5 billion
  • Investor flows were positive in November for the 7th consecutive month.
  • During the 7 months of consecutive investor inflows, $119.91 billion has been allocated to hedge funds.
  • The Core Growth Rate (% increase in assets due solely to investor flows) increased to 1.33% November. The rate of growth has risen two consecutive months.
  • Hedge fund assets are still $900 billion below the peak set in Q2 2008.
Hedge fund performance was positive in November, driven by commodity focused strategies and emerging markets. Equity long/short strategies appeared conservatively positioned, underperforming the S&P by more than 450 basis points.

  • The HFN Hedge Fund Aggregate Index was +2.03% in November and +18.66% YTD.

Details from November:

Assets:

  • Fixed income investments outpaced equities in November, after lagging the two prior months.
  • Investments in commodity strategies were in line with overall industry growth.
  • Flows to corporate bond related strategies turned slightly negative in November.
  • Fixed income arbitrage strategies had the fastest rate of inflow in November.
  • Allocations into emerging markets slowed for the second straight month, but were in line with overall industry growth.
Performance:

Regional/Country Specific Exposure
With the exception of funds investing in the MENA region, emerging markets again outpaced developed market exposure in November. Latin America focused funds were the best performing, led by funds investing in Brazil. India exposure produced large returns as well and Russia and China focused funds were more aligned with the overall industry.

HFN Latin America Index: +4.26% in November, +45.74% YTD
HFN Brazil Index: +5.90% in November, +52.85% YTD
HFN India Index: +4.81% in November, +47.54% YTD
HFN China Index: +1.80% in November, +36.80% YTD
HFN Russia Index: +2.19% in November, +60.82% YTD
HFN Middle East/North Africa Index: -0.89% in November, +23.00% YTD
HFN Emerging Markets Index: +2.12% in November, +40.86% YTD

Fixed Income (FI) Strategies
The average performance from fixed income focused strategies was +0.82% in November. Performance was led by distressed debt related strategies while arbitrage strategies lagged for the first month in several.

HFN Distressed Index: +2.34% in November, +26.54% YTD
HFN Fixed Income Arbitrage Index: +0.08% in November, +17.81% YTD
HFN Mortgages Index: +1.00% in November, +50.62% YTD

Equity (EQ) Strategies
The average performance from equity focused strategies was +1.23% in November. Funds investing in U.S. markets returned an average of +1.98% during the month. Overall underperformance of broad equity markets was an indication of a more defensive positioning of LS Eq portfolios. Energy and healthcare focused funds outperformed.

HFN Long/Short Equity Index: +1.43% in November, +19.84% YTD
HFN Market Neutral EQ Index: +0.07% in November, +4.48% YTD
HFN Short Bias Index: -1.80% in November, -16.65% YTD
HFN Energy Sector Index: +2.93% in November, +36.25% YTD
HFN Healthcare Sector Index: +3.71% in November, +26.03% YTD

Commodity and Foreign Exchange (FX) Related Strategies
CTAs and commodity focused managers mostly outperformed the industry in November. Energy and metals exposure produced the highest gains. Funds focusing on financial futures (EQ indices) posted returns above equity long/short managers, but still lagged major equity benchmarks by a wide margin.

HFN CTA/Managed Futures Index: +4.41% in November, +4.87% YTD
Foreign Exchange focused funds: +0.94% in November, +1.93% YTD
Financial Futures focused funds: +2.41% in November, +3.11% YTD

Corporate website: Source

- FG

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. Comment - Top hedge fund managers talk about how easy their jobs have gotten, BlackRock to Schroders warn of Argentina’s $20bn bond glut, The 35-year “investment supercycle” is drawing to a close, says Bill Gross, Gundlach: When the Fed starts hiking rates, 'GET OUT' of this asset class[more]

    Top hedge fund managers talk about how easy their jobs have gotten From Businessinsider.com.au: Time was, before the financial crisis hit, corporate boards treated multi-billion dollar hedge fund managers like Jehovah’s Witnesses pounding on their doors and flashing bibles. But no more.

  2. T Rowe's challenge to Dell deal may fuel critics of 'appraisal'[more]

    From Reuters.com: An increasingly popular tactic used by hedge funds and others to extract more money from buyouts could soon face a major courtroom test when a big investor in Dell Inc may argue that it should be paid a higher price for the 2013 acquisition of the PC maker. The strategy, known as "

  3. News Briefs - Ergen says LightSquared plan unfairly favors hedge funds, Why hedge fund managers make good advisory clients, I learned a lot about dad-bros after spending 4 days in Vegas with 2,000 hedge funders[more]

    Ergen says LightSquared plan unfairly favors hedge funds LightSquared Inc.’s bankruptcy plan gives hedge funds that invested in the broadband company a leg up while blocking telecommunications firms from competing with it, a fund owned by Dish Network Corp. Chairman Charles Ergen said in

  4. Opalesque Exclusive: SEC approves proposed changes to Form ADV, '40 Act - comment period to follow[more]

    Bailey McCann, Opalesque New York: Hedge funds and providers of liquid alternatives will want to pay close attention to proposed reforms approved by the SEC yesterday. The changes will require more frequent reporting, as well as a closer look into social media, liquid alternative strategies, and

  5. Opalesque Exclusive: Ovation Partners targets opportunities where few "natural lenders" participate[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Changes in financial regulations post-2008 (Dodd-Frank and Basel III) are forcing banks to significantly alter their core lending businesses. And as mid-sized

 

banner