Sun, Jan 22, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

GAM offers insight into July hedge fund performance

Monday, August 06, 2012
Investment group GAM report that July was a choppy month for equity markets and risk assets in general. The MSCI World index ended the month up 1.3%, but during the month the index reversed and changed direction on four occasions moving down or up more than 3% each time. Credit markets showed similar volatility but posted gains by month end. ABS and especially RMBS had a strong month as investors continued to reach for better yields than those available from the bonds of perceived safe sovereigns. Commodities had a strong month on the back of soybeans, wheat and corn rallying very steeply due to supply concerns caused by the US drought.

Hedge fund strategies performed positively in July with the HFRX Global Hedge Fund index up 0.5%. Trend following CTA hedge funds performed notably well with the Newedge Trend Sub-Index up 4.8% for the month.

Anthony Lawler, Portfolio Manager at GAM, said: “July was an encouraging month within which we saw individual managers in each main hedge fund strategy producing positive performance of several percentage points or more. It is particularly pleasing to see global macro have a solid month despite equity markets rallying, given that global macro managers remain cautious on global growth prospects.”

The hedge fund performance drivers for July were varied according to Lawler: “Performance in July came from numerous sources and from positioning across different themes, geographies and asset classes. Within credit and relative value, managers did well in ABS and long credit positions generally. Within global macro including CTAs, gains came from a variety of trades including longs in soft commodities, long global bonds, long US dollar, long Australian dollar and short the euro. It is encouraging to see the diversity of trades that drove performance as this indicates that this month was not simply a risk-on or risk-off month, but rather traders were in many cases rewarded for taking more nuanced directional views.”

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. Investing - This hedge fund made 37% betting on banks in 2016 and remains bullish after the Trump rally, Hedge fund legend David Einhorn is making a big bet on GM, After impressive 85% return in 2016, hedge fund looks to Canadian gold producer, small banks[more]

    This hedge fund made 37% betting on banks in 2016 and remains bullish after the Trump rally From Forbes.com: Can bank stocks continue to rise after a 28% surge in the KBW Bank Index in 2016, fueled by a post-election rally as stock pickers returned to the beaten down sector? Forget the s

  2. SWFs - China sovereign wealth fund CIC plans more U.S. investments[more]

    From Reuters.com: China Investment Corporation (CIC), the country's sovereign wealth fund, is looking to raise alternative investments in the United States due to low returns in public markets, its chairman said on Monday. CIC will boost its investments in private equity and hedge funds as wel

  3. Some hedge funds strong start in 2017 nice contrast to 2016[more]

    With the 2016 HSBC Hedge Weekly performance rankings in the books - a year in which the same leader-board entries pretty much dominated unchallenged throughout the year - comes a new leader board that is a hard-scrabble mix of hedge fund styles and categories. What is clear after but a few short wee

  4. Macro hedge funds and CTAs outperform in December on strong dollar[more]

    Komfie Manalo, Opalesque Asia: The last month of 2016 saw risk assets climbing higher, as part of expectations that the new U.S. administration will remove barriers to growth and investment, Lyxor Asset Management said. December also saw the Fed hik

  5. Opalesque Exclusive: Roxbury credit events UCITS gathers more assets[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: The Roxbury Credit Events Fund, launched in September 2015, was up 4.24% in 2016, having returned seven positive months during the year. The managers raised