Thu, Mar 28, 2024
A A A
Welcome Guest
Free Trial RSS pod
Get FREE trial access to our award winning publications
Industry Updates

Eurekahedge Hedge Fund Index up 1.83%, recovers from early-2014 losses (1.49% YTD)

Tuesday, March 11, 2014
Opalesque Industry Update - Hedge funds were up 1.83% in February 2014, according to Eurekahedge, recovering from their losses in the start of the year as the MSCI World Index posted gains of 3.87% during the month.

Key takeaways for the month of February 2014:

· Hedge funds recovered from January losses - all investment strategies yielded positive returns during the month with long/short equities and distressed debt leading with gains of 2.42% and 2.33% respectively

· North American managers posted their sixth consecutive month of positive returns, up 2.46% during the month and 10.5% over the last 12 months

· All regional mandates delivered positive returns during the month, excluding Japan focused hedge funds which posted their second consecutive month of negative returns - down 1.06% in February

· Latin America focused managers outperformed the MSCI EM Latin America Index by 6% on a year-to-date basis

· Distressed debt investing hedge funds delivered their eighth consecutive month of positive returns - up 2.33% in February and 17.7% in the last 12 months

· Asset flow data from 2013 shows that 2,027 hedge funds had positive asset flows during the year, out of which 357 managers raised more than US$100 million. Meanwhile, 879 hedge funds recorded net asset outflows in the previous year while 1,557 funds reported marginal or no inflows

Regional Indices
Global markets trended upwards during the month led by a resurgence of investor confidence in the global economy. Market sentiment held strong as weaknesses in recent US macroeconomic data were largely attributed to the weather conditions, with Fed chair Janet Yellen reaffirming the need to keep the QE tapering on track as the US economy continues its recovery. Emerging markets also showed signs of stability with the MSCI Emerging Market Index rising 2.15% during the month. Meanwhile, positive macroeconomic data from the Eurozone showed acceleration in manufacturing activity which provided further support to the markets.

All regional mandates, with the exception of Japan, ended the month in positive territory with North America focused hedge funds realising the strongest gains. The Eurekahedge North American Hedge Fund Index was up 2.46% as MSCI North America Index gained 4.47% during the month. European fund managers were up 1.87% with the FTSE 100, DAX and CAC Index rising 4.60%, 4.14% and 5.82% respectively. Fund managers focused on Eastern Europe and Russia were up 0.29% during the month, emerging largely unscathed as the crisis in Ukraine intensified towards the month-end. Latin America focused hedge funds outperformed underlying markets yet again, with managers delivering gains of 0.50% in contrast to a 0.69% decline in the MSCI EM Latin American Index. The Eurekahedge Asia ex Japan Hedge Fund Index was up 1.81%, with Greater China and India focused hedge funds delivering gains of 1.02% and 4.05%. Japan investing hedge funds were down 1.06% as the Yen remained largely flat versus the US dollar (marginally down 0.06%) with the Nikkei 225 Index and Tokyo Topix declining 0.49% and 0.74% during the month.

Strategy Indices
All hedge fund strategies posted positive returns in February, with long/short equities managers outperforming their peers and delivering gains of 2.42% as global equity markets rallied during the month. Distressed debt investing hedge funds posted their eighth consecutive month of positive returns, up 2.33% - outperforming the BoFA Merrill Lynch US High Yield Index which gained 2.0% during the month. Multi-strategy, arbitrage and fixed income hedge funds were up 1.57%, 1.20% and 1.16% respectively, while managers deploying macro strategies rebounded from their January losses to finish the month with gains of 1.32%. CTA/managed futures strategy was up 1.71%, with managers realising gains from their exposure to precious metals as gold and silver rallied during the month. Managers utilising systematic or trend following strategies also posted strong gains and were up 2.17% during the month.

·The Eurekahedge Asian Hedge Fund Awards 2014 will be taking place on 23 May 2014 at Capella Singapore.

Press release

www.eurekahedge.com

Bg

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Previous Opalesque Exclusives                                  
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. KKR raises $6.4bn for the largest pan-Asia infrastructure fund[more]

    Laxman Pai, Opalesque Asia: The New York-based global investment firm KKR has raised a record $6.4bn for its second Asia-focused infrastructure fund, underlining investors' continued appetite for private markets. According to a media release from the alternative assets manager, the figure top

  2. Bucking the trend, top hedge fund makes plans for a second SPAC[more]

    From Institutional Investor: SPACs aren't dead. At least not to the folks at Cormorant Asset Management. The life sciences firm, whose hedge fund topped its peers in 2023, is confident it will match the success of its first blank-check company. Last week, the life sciences and biopharma speciali

  3. Benefit Street Partners closes fifth fund on $4.7 billion[more]

    Bailey McCann, Opalesque New York: Benefit Street Partners has closed its fifth flagship direct lending vehicle, BSP Debt Fund V, with $4.7 billion of investable capital across the strategy. Benefit Street invests primarily in privately originated, floating rate, senior secured loans. The fun

  4. 4 hedge fund themes that are working in 2024[more]

    From The Street: A poor earnings report from Tesla (TSLA) has not hurt the indexes on Thursday. The decline in Tesla stock, which is losing its position in the Magnificent Seven pantheon, is more than offset by strong earnings from IBM (IBM) and ServiceNow (NOW) . In addition, the much higher-t

  5. Opalesque Exclusive: A global macro fund eyes opportunities in bonds[more]

    Bailey McCann, Opalesque New York for New Managers: Munich-based ThirdYear Capital rebounded in 2023, following a tough year for global macro. The firm's flagship ART Global Macro strategy finished the year up 1