Wed, Sep 3, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Hedge Fund Research - HFRI Flash Update Monthly Performance Indices - June 2010

Friday, July 09, 2010
Opalesque Industry Update - Hedge funds concluded the surprisingly volatile 1H10 with a decline of -0.81% for the HFRI Fund Weighted Composite Index, bringing 1H10 performance to a narrow decline of -0.18%. After a quiescent 1Q, volatility increased significantly in 2Q with concerns about sovereign credit risk, currency policy adjustment, economic and energy market impact of the environmental disaster and concerns about slowing growth in both developed and emerging economies contributing to declines in global equity markets, a powerful late-quarter rally in US Treasury bonds and volatile directional moves in currency & commodity markets.

Equity Hedge was the weakest area of industry performance with the HFRI Equity Hedge (Total) Index declining -1.50% (YTD: -1.60%). Across EH sub-strategies, funds focused on Fundamental Value and Energy/Basic Materials were the weakest area of performance, with these declining by -2.05% and -1.95%, respectively. Equity Market Neutral and Sector: Technology/Healthcare posted more modest declines, with these declining -0.40% and -0.90% for June, respectively. Short selling funds were the lone positive contributor in EH, gaining +3.73%.

Relative Value Arbitrage was the strongest area of industry performance, with the HFRI Relative Value (Total) Index gaining +0.40% for June (YTD: +3.66%). Fixed Income exposure across sovereign, convertible, corporate and asset backed all posted gains in June, which were complemented by gains in Volatility and MLP-focused strategies; gains were driven by falling yields, increasing volatility and a sharp increase in Natural Gas.

The HFRI Macro (Total) Index declined by -0.23% in June, dropping YTD performance to -1.27%. Minimal gains in quantitative, trend following Systematic Diversified (+0.17%) strategies and Active Trading strategies only partially offset declines in Discretionary Thematic and Commodity Focused funds.

The HFRI Event Driven (Total) Index declined by -1.10% (YTD: +2.43%) with declines in Activist and Distressed/Restructuring (-0.94%) offsetting gains in Merger Arbitrage (+0.11%) on weaker corporate credit markets and generally wider risk arbitrage spreads.

The HFRI Emerging Markets (Total) Index posted a decline of -0.63% with gains in Latin America and Emerging Asia only partially offsetting declines in Russia and the Middle East... Full performance table: Source
-PD

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. Study shows what resonates with investors: 'Unwavering', 'passionate' beats 'committed', 'dedicated' and more surprises[more]

    Komfie Manalo, Opalesque Asia: A new study by Pershing, a unit of BNY Mellon company, showed that an effective value proposition strengthens audience connections and fosters growth, yet many advisors have had little objective guidance in formulating such statements until now. In the study

  2. Legal – GE Capital and Petters-related hedge fund in legal battle, SEC sanctions Donald Brownstein's hedge fund over conflicts of interest[more]

    GE Capital and Petters-related hedge fund in legal battle From Startribune.com: A billion-dollar legal battle is brewing in Florida over who knew what and when about the decade-long Ponzi scheme operated by former Wayzata businessman Tom Petters. The bankruptcy trustee for two failed Flo

  3. Managed futures' global diversification is important in next phase of economic recovery[more]

    Komfie Manalo, Opalesque Asia: The global diversification provided by managed futures may prove to be extremely valuable as the markets enter the next phase of the economic recovery, said Campbell & Company, a pioneer in absolute return invest

  4. Comment – Why you should avoid the hottest hedge fund hands, Swedroe attacks Hussman over risk management, relative value strategy[more]

    Why you should avoid the hottest hedge fund hands FromCNBC/Yahoo.com: Investors who don't have money with Pershing Square Capital Management are likely salivating at the hedge fund's industry-leading 26 percent return from January through July. But investing with Bill Ackman and other to

  5. Ex-UBS prop trader's hedge fund Manikay Partners eyes UK launch[more]

    From eFinancialnews.com: Manikay Partners, a $1.7 billion US multi-strategy hedge fund set up in 2008 by a proprietary trader from UBS with backing from Goldman Sachs, is planning to open in the UK. New York-based Manikay's move into Europe comes after Financial News revealed on Monday that Aurelius