Tue, Mar 31, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Hedge funds start 2014 in the red - Preqin

Tuesday, February 18, 2014
Opalesque Industry Update - According to Preqin’s Hedge Fund Analyst, hedge funds made a loss of 0.17% in January 2014, the benchmark’s first month in negative territory since August 2013. The decline in equity markets led to negative returns posted by long/short funds; however these funds did outperform the S&P 500 Index, which was down more than 3.5% for the month. The best performing hedge fund strategies for January were relative value and event driven strategies, with these benchmarks up 0.77% and 0.66% respectively.

Other Key Facts:

  • Relative value was the top performing strategy benchmark in January 2014, as a result of strong gains posted by fixed income arbitrage (+1.60%) and relative value arbitrage (+1.43%) strategies.
  • Long/short was the worst performing strategy category, as a result of losses posted by long/short equity (-0.28%) and long bias (-1.45%) funds.
  • Macro strategies posted similar returns to the overall hedge fund benchmark (-0.15%).
  • CTAs were back in the red in January following three months of positive performance, with returns of -1.08%, taking 12-month returns to -2.59%.
  • Europe was the top performing regional benchmark with funds focused on the region returning 0.65%, marginally ahead of North America-focused funds (+0.55%).
  • Funds focused on emerging markets suffered notable losses, with average returns of -2.27%, and there were also negative monthly returns for funds focused on Asia-Pacific (-0.51%).
  • UCITS funds also posted losses in January with the average UCITS fund down 0.41%, as a result of negative returns posted by long/short (-0.76%) and macro funds (-0.12%).
  • Funds of hedge funds again underperformed compared to the overall hedge fund benchmark, with average returns of -0.57%.

Preqin

Press Release

BM

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. Other Voices: Does the hedge fund industry benefit society?[more]

    This article was authored by Don Steinbrugge, Chairman of Agecroft Partners, a US-based global consulting and third party marketing firm for hedge funds. It is no secret that the hedge fund industry is viewed negatively by a la

  2. Private credit comes into focus for investors[more]

    Bailey McCann, Opalesque New York: As investors look for a way out of the low yield/no yield environment, private credit is becoming an increasingly attractive asset class, according to a white paper from Bayshore Capital Advisors. Private credit has grown steadily since the financial crisis as

  3. M&A - Hedge funds no longer attractive targets for banks, reinsurers, Blackstone buys stake in Christopher Pucillo’s Solus event-driven hedge fund[more]

    Hedge funds no longer attractive targets for banks, reinsurers From Institutionalinvestor.com: Swiss RE, the world’s second-largest reinsurer, is looking to sell its 15 percent stake in Jersey, Channel Islands–based hedge fund firm Brevan Howard Asset Management. Morgan Stanley reported

  4. Opalesque Radio: Threadneedle expects continuing equity volatility this year[more]

    Benedicte Gravrand, Opalesque Geneva: Investors should expect more volatility, which is signaling a "slow moving" top to the market, KKM Financial’s founder and CEO Jeff Kilburg told CNBC on Monday. And this volatility is going

  5. Hedge funds show strong performance of 2.52% so far in 2015[more]

    Komfie Manalo, Opalesque Asia: The hedge fund industry got off to a strong start in 2015 "completely unmindful" of the poor performance last year, according to data provider Preqin. According to Preqin, following a year which saw the average he

 

banner