Tue, Jan 16, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Eurekahedge reports hedge fund index up 3% YTD, investor appetite pick-up

Tuesday, May 16, 2017
Opalesque Industry Update - According to the May 2017 Eurekahedge Report, the key highlights for April 2017 are:

- Hedge funds were up 0.64% in April with 2017 year-to-date gains coming in at 3.00%. Investor appetite for hedge funds has picked up pace since the start of the year, with net inflows of US$34.8 billion.

- AUM for the North American hedge fund industry has reached a record high of US$1.54 trillion as of April 2017. Investor subscriptions for 2017 year-to-date stood at US$29.5 billion, with US$18.4 billion of performance-based gains recorded over the same period of time.

- The US$260.6 billion CTA/managed futures mandated hedge fund industry saw the highest net investor inflows US$11.3 billion among strategic mandates for 2017. The top 25 best performing CTA managers with a combined AUM of US$30 billion were up 4.04% for the year.

- AUM for long/short equities hedge fund managers grew by US$19.8 billion over the year with strength led by performance-driven gains of US$17.1 billion. Long/short equities hedge fund managers are up 4.81% for the year.

- Asian managers saw investor subscriptions of US$1.6 billion in 2017 year-to-date, with performance-based gains of US$4.1 billion. As of 2017 year-to-date, Asia ex-Japan managers were up 7.12% with underlying Greater China and Indian managers up 8.73% and 13.89% respectively. Japan focused funds were up 2.04% over the same period.

- European managers gained 1.10% during the month, with year-to-date gains coming in at 3.41%. The US$512.4 billion European hedge fund industry grew by US$6.5 billion as of April 2017 year-to-date.

- Sub-billion dollar hedge funds recorded strong investor interest as of 2017 year-to-date, with net inflows totaling US$16.5 billion. Within sub-billion dollar hedge funds, mid-size funds managing between US$100 million and US$500 million have seen inflows of US$12.2 billion.

***

Hedge funds posted their fourth consecutive month of gains this year, up 0.64% during the month of April, comments data provider Eurekahedge.

Meanwhile, underlying markets as represented by the MSCI AC World Index (Local) were up 1.17% over the same period. The Macron vs. Le Pen run-up to the French presidential election provided some relief for the markets especially for European equities as expectations for a Macron victory in the second round seemed likely. In the Eurozone and elsewhere in the world, economic data for Q1 2017 was largely encouraging with indicators pointing towards global economic expansion. However, strained geopolitical relationships among major powers and challenges faced by America's trade partners on the back of Trump's anti-trade rhetoric places the direction of economic recovery in a precarious position. With his proposed reforms in home ground still rather shaky, the course of Trump's America is still anyone's guess.

Among regional mandates, Asia ex-Japan hedge fund managers topped the table for the month, gaining 1.28% followed by European and Latin American managers with gains of 1.10% and 0.99% respectively. The first round of the French presidential elections saw Macron and Le Pen heading towards the second round of the elections and this provided some relief for European equity markets. Optimism on a centrist Macron victory buoyed equity markets across the board and coupled with encouraging macro data from Europe, the potential for further disintegration of the EU bloc coming from Frexit became less alarming.

Latin American equities were modest in April, with the Mexican IPC Index gaining 1.48% while the Brazilian Ibovespa Index was up 0.48% over the same period. The renegotiations of the NAFTA deal by the Trump administration proved to be a relief for the three countries in the agreement, which would otherwise have seen the NAFTA being abolished. However, much remains to be seen as the extent of renegotiations remains a big question mark. North American and Japan managers were also in positive territory this month, gaining 0.98% and 0.40% in April.

On a year-to-date basis, Latin American managers outshone regional peers, and were up 7.41% followed by Asia ex-Japan peers who posted gains of 7.12% over the same period. European, North American and Japanese managers are also in positive territory as of April 2017 year-to-date, up 3.41%, 2.94% and 2.04% respectively.

Press release

Bg

The full report can be found on Eurekahedge's website:

Article source - Opalesque is not responsible for the content of external internet sites

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. Legal - Former Och Ziff hedge fund executive indicted for fraud in Africa investment scheme, prosecutor says, Hedge fund blasts defense of Puerto Rico restructuring law[more]

    Former Och Ziff hedge fund executive indicted for fraud in Africa investment scheme, prosecutor says From CNBC.com: A former hedge fund executive faces federal charges for defrauding a UK-based charity over investments in Africa, according to a grand jury indictment made public Wednesday.

  2. U.S. economy, inflation and alternative investments to dominate 2018 markets, says family office Wilmington Trust[more]

    Komfie Manalo, Opalesque Asia: The emergence of a late-cycle economy in the U.S., the mystery of inflation and growth from a domestic and global perspective, and the potential for alternative investments to prosper against a backdrop of rich valuations, low yields, and higher volatility are the t

  3. Performance - Some hedge funds deliver double-digit gains for 2017, Brevan Howard's hedge fund suffers biggest annual loss in 2017, Crispin Odey's flagship hedge fund plummeted about 20% in 2017, Profits fall 90% at ex-Morgan Stanley banker's hedge fund, Fannie-Freddie overhaul might mint hedge fund riches, losses[more]

    Some hedge funds deliver double-digit gains for 2017 From Reuters/Investing.com: A handful of hedge funds ended 2017 with double digit returns, their investors said, at a time the $3 trillion industry took in fresh money and posted its best returns in years, industry data show. Act

  4. Investing - Hedge funds start 2018 with record $19 billion bet on the euro, Hedge fund Kora Management invests in Satin Creditcare[more]

    Hedge funds start 2018 with record $19 billion bet on the euro From Reuters.com: Hedge funds have kicked off 2018 with their biggest bet ever on the euro rising, a clear vote of confidence in the single currency but, with positioning so stretched, one which could backfire in the near ter

  5. News Briefs - Mobius to retire from Franklin Templeton, Authorities decrypt smart phone of Princeton grad charged with killing Manhattan hedge fund dad, Investigators seize (more) antiques from hedge-fund billionaire Michael Steinhardt's collection[more]

    Mobius to retire from Franklin Templeton Emerging markets pioneer Mark Mobius will be stepping down as executive chairman of the Templeton Emerging Markets Group (TEMG) and formally retire from Franklin Templeton on 31 January. He will also be relinquishing his post as portfolio manager