Opalesque Industry Update - Hedge funds gained 1.73% in July, according to the Barclay Hedge Fund Index compiled by BarclayHedge. The Index is up 5.86% year to date.|
The Barclay Hedge Fund Index now has gains in six out of seven months in 2013 and positive returns in 13 of the past 14 months of trading.
“Tapering fears receded in July as the Fed and the ECB maintained their accommodative posture, helping equity and bond markets to rebound from June’s losses,” says Sol Waksman, founder and president of BarclayHedge.
“Positive economic news in the US and Europe bolstered investor confidence and helped to boost the MSCI World Index to a gain of more than 5 percent.”
All but one of Barclay’s 18 hedge fund strategies gained ground in July. The Barclay Healthcare & Biotechnology Index jumped 4.22%, Equity Long Bias gained 3.53%, the Technology Index was up 3.47%, Equity Long/Short gained 1.93%, and Distressed Securities added 1.78%.
The Equity Short Bias Index dropped another 4.50% in July. Equity Short Bias has five months of losses this year, and is down 19.59% after seven months in 2013. At this point, Short Bias is on track to surpass its record loss of 24.12% logged in 2012.
Four hedge fund strategies have recorded double-digit returns thus far in 2013. Healthcare & Biotechnology has gained 15.70% year to date, Pacific Rim Equities are up 13.76%, the Equity Long Bias Index has gained 12.26%, and Distressed Securities are up 10.01%.
The Barclay Fund of Funds Index was up 0.95% in July and has gained 4.25% year to date.