Opalesque Industry Update - The Parker FX Index is reporting a -0.55% return for the month of February. Thirty-four
of the thirty-six programs in the Index reported February results, of which twelve reported positive results and
twenty-two incurred losses. On a risk-adjusted basis, the Index was down -0.24% in February. The median return
for the month was -0.72%, while the performance for February ranged from a high of +2.81% to a low of -4.03%.|
In addition to the broad Parker FX Index, there are two style driven sub-indices: the Parker Systematic Index, which tracks those managers whose decision process is rule based, and the Parker Discretionary Index, which tracks managers whose decision process is judgmental. During February, the Systematic Index was down -0.11% and the Discretionary Index was down -1.00 %. On a risk-adjusted basis, the Parker Systematic Index was down - 0.04% and the Parker Discretionary Index was down -0.74%.
The top three performing constituent programs for the month of February on a reported basis returned +2.81%, +2.80% and +2.45%, respectively. The top three performers on a risk-adjusted basis returned +1.81%, +1.73% and +1.63%, respectively.
The US dollar fell in February as manufacturing and non-farm payrolls missed estimates. Emerging market currencies saw gains in February on increased risk sentiment due to the expectation that slow US growth would keep the pace of stimulus. Looking ahead, managers believe that monetary policies will diverge, creating opportunities in global currency markets as economies begin to recover.