Fri, Feb 24, 2017
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. People - Kuwait wealth fund head Al Saad said to step down after 14 years[more]

    From Bloomberg.com: Kuwait Investment Authority is set to name Farouk Bastaki as managing director, replacing Bader Al Saad who ran the world's fifth-largest sovereign wealth fund for 14 years, a person familiar with the matter said. The KIA, as the fund is known, is finalizing the appointment, said

  2. Investing - Hedge funds loading up on this dividend stock, The biggest hedge funds have been piling into bank stocks[more]

    Hedge funds loading up on this dividend stock From Incomeinvestors.com: Hedge funds are backing up the truck on Cameco Corp stock. Billionaire Jim Simons owns 389,000 shares. Other Wall Street titans - including Ray Dalio, Ken Griffin, and Chuck Royce - have been quietly building positio

  3. Legal - Fannie, Freddie shares dive after U.S. appeals court ruling[more]

    From Reuters.com: Shares of Fannie Mae and Freddie Mac tumbled more than 30 percent on Tuesday after a U.S. appeals court shut down efforts by hedge funds and other investors to pursue numerous legal claims accusing the U.S. government of seizing their profits following taxpayer bailouts. By a

  4. Institutional investors plan to raise allocations to alternative assets in 2017[more]

    Komfie Manalo, Opalesque Asia: A survey by Context Summits Miami showed that nearly 72% of institutional investors and family offices plan to raise their allocations to alternative asset managers this year, suggesting continued strong demand for the industry. "As many large, brand name f

  5. Comment - Mortgages, mergers and hedge fund fees, Fairholme's Berkowitz responds to court ruling against hedge fund suits of Fannie Mae[more]

    Mortgages, mergers and hedge fund fees From Bloomberg.com: Yesterday the U.S. Court of Appeals for the D.C. Circuit handed down an odd decision in a lawsuit over the government's nationalization of Fannie Mae and Freddie Mac. The key issue is what's called the "Third Amendment," the 2012