Sat, Feb 28, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Comment: Equity hedged and event driven managers winners in September and likely for 2013

Thursday, October 03, 2013
Opalesque Industry Update - Many equity-hedged and event-driven hedge funds have continued to hold and increase positions during September, and were rewarded as several equity events occurred and markets moved higher. Anthony Lawler, portfolio manager at GAM, comments that he expects to see the trend of equity-hedge and event-driven funds out-performing other hedge fund strategies to continue through the end of the year.

“Equity-hedged and event driven managers remain tactically bullish and fully invested, indeed with some increases in net and gross exposure after the Fed’s ‘no taper’ surprise. In September a number of public companies widely owned by event managers announced deals, asset dispositions, divestitures, and other accretive transformations which were well received by the market. Share buybacks also continue to be a positive catalyst for equity prices. This surge in corporate activity is helpful and expected to continue if the Fed remains accommodative and Washington agrees a new budget and raises the debt ceiling."

Lawler points out however that the Fed's ‘no-taper’ surprise in September 2013 did not help all managers: “The consensus long US dollar position and shorts in emerging markets hurt global macro managers when the “no taper” announcement surprised markets, weakening the dollar and re-invigorating emerging market bonds and currencies. Now those long US dollar and short emerging markets positions have been somewhat reduced while the Japan reflation theme remains in place through mainly long Nikkei and short Japanese yen holdings," Lawler said.

More broadly, hedge fund performance for September was positive as measured by the HFRX Global Hedge Fund index which was up 1.0 %. At the strategy level equity-related strategies fared best with event driven up 2.1% and equity hedge up 1.4%, while macro/CTA and relative value were down -0.3% and up 0.4% respectively, according to HFRX strategy index performance data.

Press release

www.gam.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. Investing - Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched, Myriad hedge fund sold bulk of its Alibaba stake last year[more]

    Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched From Valuewalk.com: As hedge fund manager Seth Klarman, leader of the $28 billion Baupost Group, reviews 2014 performance and considers investors gained near 7 percent on the year, he cons

  2. Adamas Asset Management and Ping An Insurance to co-manage $500m debt fund[more]

    Komfie Manalo, Opalesque Asia: Hong Kong-based Adamas Asset Management and Ping An Insurance Group, one of China’s largest financial institutions, have finalized a memorandum of und

  3. Opalesque Exclusive: dbSelect’s top ten FX strategies average almost 10% in January[more]

    Benedicte Gravrand, Opalesque Geneva: In one of Deutsche Asset & Wealth Management (AWM)’s hedge fund platforms, called dbSelect, a number of FX Strategies did very well in January. dbSelect is a managed investment platform for unf

  4. Opalesque Exclusive: SEC’s Mark J. Flannery warns hedge funds against valuation misconduct[more]

    Komfie Manalo, Opalesque Asia: Securities and Exchange Commission chief economist and director of Division of Economic and Risk Analysis (DERA) Mark J. Flannery has warned of the risks posed by market misconduct, particularly in the true valuation of assets by hedge fund managers. In his

  5. Dymon Asia's $3bn macro hedge fund lost 10.45% in January[more]

    From Reuters.com: Dymon Asia's $3.1 billion macro hedge fund lost 10.45 percent in January, performance data seen by Reuters showed, a month where many peers lost heavily after a surprise rise in the Swiss franc. Singapore-based Dymon, set up by Danny Yong, a former founding partner and chie