Thu, Sep 1, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

HFRX Global Hedge Fund Index posts gain of +0.50% through mid-August (2.28% YTD)

Monday, August 20, 2012
Opalesque Industry Update - Global financial market volatility moderated through mid-August, as global equities built on July gains which extended into mid-August. Listed equity trading volumes were light following an incident earlier in the month that resulted in a sharp daily increase and significant trading losses for at a specialist market maker firm. US equities posted gains with leadership from Energy & Telecom, while global equities posted gains led by Italy, Spain and France as investors discounted optimism toward current developments regarding the European sovereign debt crisis. US yields rose as the curve steeped, with longer dated maturities coming off historical lows set in July. The US dollar was mixed falling against the Euro while posting gains against the Japanese Yen. Commodities were also mixed as Metals, Natural Gas and Agriculturals (Corn, Wheat and Soybean) posted declines, while Oil increased.

Hedge funds extended July gains through mid-August 2012, with the HFRX Global Hedge Fund Index posting a gain of +0.50% led by Equity Hedge and Event Driven strategies; the HFRX Market Directional Index also posted a gain of +1.01% through mid-August.

TheHFRX Equity Hedge Index posted a gain of +1.05% through mid-August, with broad based gains concentrated in US small-cap, Emerging Markets and European exposures only partially offset by market hedges exposures; the HFRX Fundamental Value Index gained +1.05% while the HFRX Fundamental Growth Index gained +0.68%. Gains in fundamentally-driven market neutral strategies were partially offset by behavioral and factor-based managers, with the HFRX Market Neutral index posting a modest gain of +0.06%. Sector exposure in Renewable Energy and Healthcare also contributed to positive performance of the strategy.

The HFRX Event Driven Index posted a gain of +0.55% through mid-August, as gains in Equity Special Situations, Credit Arbitrage and Activist strategies were only partially offset by a modest decline in Distressed exposure. Active developments in M&A and new deal announcements, as well as positioning in the technology and energy sectors contributed to performance, with the HFRX ED Special Situations Index gaining +0.79%. The HFRX Merger Arbitrage Index was flat +0.01% for the month, with contributions from the Glencore/Viterra, Duke Energy/Progress Energy and Seagate/LaCie deals, and activity in the Pharmaceutical and Technology sectors. The HFRX Distressed Index declined -0.10% on mixed position performance and despite improving credit markets, with contributions from US exposure offset by exposure to Emerging Markets.

The HFRX Macro CTA Index posted a gain of +0.26% through mid-August, with gains in Discretionary and Currency strategies offset by declines in Systematic Diversified managers. Discretionary managers posted gains on Euro optimism across currency, equity and fixed income positions, while short US fixed income also contributed to gains. Emerging Markets also contributed to gains, with the HFRX Emerging Markets Index gaining +0.69% through mid-month. The HFRX Systematic Diversified CTA Index declined by -0.68% on mixed performance and trend reversals across commodity, fixed income and currency exposures.

The HFRX Relative Value Arbitrage Index posted a gain of +0.06% through mid-August as US yields rose sharply, with positive contributions from Convertible, Corporate Fixed-Income and Energy Infrastructure strategies only partially offset by declines in positions in multi-strategy and Latin America fixed-income. The HFRX MLP Index gained +0.48% on consistent commodity transport demand and mixed commodity performance through mid-August. Gains from credit tightening and interest rate hedges offset rising yields and falling volatility as the HFRX Convertible Arbitrage Index gained +0.41%. The HFRX Fixed Income Credit also offset rising yields to post a gain of +0.36%, while the HFRX Multi-Strategy Index posted a modest decline of -0.06%.

(press release)

Comments reference performance as published through August 15, 2012.

Full performance table: www.hedgefundresearch.com

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. The Big Picture: Water is single largest environmental investment opportunity[more]

    Benedicte Gravrand, Opalesque Geneva: Water, the world’s most precious and undervalued commodity, is set to lead the socially and environmentally responsible investment themes. This is according to specialist fund manager Thomas Schumann. His firm,

  2. Commodities - Hedge funds pile into bullish bets on U.S. crude by most on record, Rig count steady, hedge funds dump short contracts on 63 million barrels, Hedge funds bail on Copper as Goldman predicts ‘supply storm’, Hedge funds pile up bets against sterling[more]

    Hedge funds pile into bullish bets on U.S. crude by most on record From BRecorder.com: Hedge funds and other speculators raised their bullish bets on US crude oil in the past week by the most on record fuelled by speculation that Organization of the Petroleum Exporting Countries will agr

  3. Investing - U.S. hedge fund Marathon makes Brexit bet on European property, Hedge funds love Liberty and John Malone, DE Shaw could bid for control over TerraForm Power, New York hedge fund increases stake in Tronc as sale talks continue, Don't wait too long to check this +20% value fund's ideas[more]

    U.S. hedge fund Marathon makes Brexit bet on European property From FT.com: Marathon, a $13bn US hedge fund, is building a big Brexit trade, increasing its investments in property across Ireland, France, Germany and the Netherlands, in a bet that they will be among the big beneficiaries

  4. Investing - Hedge funds express interest in acquiring Terraform's class B shares, REIFs: A new opportunity for foreign real estate investors, $21bn distressed expert hedge fund likes these 4 ideas, This merger arbitrage ETF is drawing increased interest, Investors look to emerging Asia for returns[more]

    Hedge funds express interest in acquiring Terraform's class B shares From Thecountrycaller.com: The US residential solar provider, Sunedison Inc. has received a bid from hedge fund manager D.E Shaw & Co LP for controlling a stake in its Yieldco TerraForm Power Inc. According to Reuters,

  5. Opalesque Exclusive: Investors struggle to identify the better performing hedge funds[more]

    Komfie Manalo, Opalesque Asia: Fund managers and investors believe that performance is one of the major factors driving change in the hedge fund industry, a Preqin survey showed in its latest Hedge Fund Spotlight. Preqin said that the disappoin