Fri, Nov 28, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

New Credit Suisse/Tremont research paper reviews hedge fund performance through the first quarter of 2010

Monday, April 26, 2010
Opalesque Industry Update – Credit Suisse Tremont Index LLC today released a new research paper, "Staying the Course: Q1 2010 Hedge Fund Update," that examines the current market environment and its effect on hedge fund returns in the first quarter.

The hedge fund industry (as measured by the Credit Suisse/Tremont Hedge Fund Index, the “Broad Index”) continued its positive performance into 2010, returning 3.1% in the first quarter and outperforming equity and bond indices on a risk-adjusted basis. The report examines the current return drivers in the industry and explores some of the noteworthy trends that have characterized markets in recent months.

Some key conclusions from the report include:

  • As of March 31, 2010, eight out of the ten sectors in the Broad Index posted positive returns in the first quarter, with 69% of all funds posting positive performance;
  • The beta of hedge funds to global equity markets is now at its lowest level since 2004. In turn, manager returns currently appear to be less driven by systematic or beta risks than they have been in the last five years;
  • The Event Driven sector had the strongest performance in the Broad Index, up 4.8%, and the consensus is that credit opportunities could continue to generate alpha opportunities in the space;
  • Overall, hedge funds have recovered 92% of all 2008 losses, while certain sectors, including Convertible Arbitrage and Event Driven, have now fully recovered their 2008 losses;
  • The hedge fund industry experienced estimated net inflows of approximately $2 billion in the first quarter;
  • Including performance gains, estimated industry assets under management currently remain at $1.5 trillion (as of March 31, 2010).
Click here to view the Q1 2010 Hedge Fund Update.

See today’s Opalesque Exclusive: Hedge fund industry returns show lowest beta level since 2004 – Credit Suisse/Tremont here.


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. Unlucky Paulson & Co. rebrands $1.6bn Recovery Fund after 13% drop[more]

    From Businessweek.com: A maturing U.S. economic recovery is prompting Paulson & Co. to change course. The $19 billion hedge fund firm, led by billionaire John Paulson, told investors on a conference call this month that the Paulson Recovery Fund will be renamed Paulson Special Situations Fund on Jan

  2. Opalesque Roundtable: Islamic Finance races ahead with Sukuk, the first managed account platform, and foreign demand[more]

    Komfie Manalo, Opalesque Asia: A number of developments took place within Islamic finance in the past years, including the launch of a Islamic managed account platform and the further growth of the sukuk space that saw this instrument evolve from being a type of an ABS security that was rarely

  3. CTAs , event-driven strategies lead hedge funds recovery in mid-November[more]

    Komfie Manalo, Opalesque Asia: November’s performance proves to be in sharp contrast to the previous month, with equities further consolidating their upswing last week, according to the latest Lyxor Asset Management’s Weekly Brief. CTA funds als

  4. Fund Profile - A complex hedge fund strategy works for United Technologies[more]

    From Institutionalinvestor.com: Reports that portable alpha is dead have been greatly exaggerated, as Mark Twain might have phrased it. Another Connecticut Yankee, giant United Technologies Corp., is gearing up to grow its successful, nearly decade-long portable-alpha program. The UTC strategy took

  5. Opalesque Exclusive: The unintended consequences of Basel III[more]

    Benedicte Gravrand, Opalesque Geneva: Bijesh Amin, co-founder and managing director of Indus Valley Partners (IVP), a technology solutions and services firm focused on the alternative asset management industry, has recently observed