Tue, Oct 19, 2021
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge fund performance up +1%, L/S Credit and Global Macro strategies outperform

Tuesday, June 16, 2020

Laxman Pai, Opalesque Asia:

Hedge fund performance was up +1% so far in June, according to Lyxor Peer Groups. The period under review (up to June 9th) excludes the most recent trading days which saw renewed market volatility.

The report said that L/S Credit and Global Macro strategies outperformed so far in June, on the back of the rebound of EM assets and the tightening of high yield credit spreads.

Meanwhile, CTA strategies continued to underperform due to the rebound in risk assets (including energy) and the rise in bond yields.

"Our stance remains constructive on Event-Driven and Fixed Income Arbitrage strategies, Neutral on CTA and Global Macro, and defensive on L/S Equity, particularly Market Neutral L/S strategies," Lyxor said.

Merger Arbitrage managers remain cautious

Despite some green shoots, both dealmakers and Merger Arbitrage managers remain cautious. Deal spreads were volatile in May, as transactions such as Tiffany vs. LVMH and Delphi Technologies vs. BorgWarner entered a period of uncertainty.

Expectations have been confounded by deal breaks, which occurred in May for transactions trading at low spreads (Texas Capital vs. Independent Bank; Front Yard Residential vs. Amherst Holdings).

Concurrently, some deals trading at wide spreads completed in the energy sector in April (i.e. Tallgrass energy vs. a consortium led by Blackstone).

After having experienced a sharp rebound in April, Merger Arbitrage strategies were flat in Ma......................

To view our full article Click here

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. SPACs: Is the SPAC boom fizzling out?, SPAC merger mania: Companies that went public via blank-check merger in Q3, SPAC marketing heavily curtailed in House Democrats' draft bill[more]

    Is the SPAC boom fizzling out? From Crunch Base: SPACs may be fizzling out. Since February 2021, when the SPAC (special-purpose acquisition company) craze was booming, a market selloff has wiped out about $75 billion of the value of companies that went public using SPACs, according to

  2. U.S.: Peter Thiel gamed Silicon Valley, Donald Trump, and democracy to make billions, tax-free[more]

    From Bloomberg: The meeting started with a thank-you. President-elect Donald Trump was planted at a long table on the 25th floor of his Manhattan tower. Trump sat dead center, per custom, and, also per custom, looked deeply satisfied with himself. He was joined by his usual coterie of lackeys

  3. Opalesque Exclusive: Female led team of veteran ESG investors to launch debut fund[more]

    Bailey McCann, Opalesque New York for New Managers: A female-led team of veteran ESG investors is preparing to launch a new fund early next year built on their ESG investing and advisory experience. Sustainable

  4. Institutional Investors: Vanderbilt University endowment records 57.1% return for fiscal year, MIT endowment logs 55.5% return for latest fiscal year, AP1 re-tenders $720m emerging markets small-cap mandate, Harvard, world's wealthiest university, sees endowment soar to $53.2bn, San Francisco shifts passive equity mandate to active BlackRock ESG strategy[more]

    Vanderbilt University endowment records 57.1% return for fiscal year From PIonline.com: Vanderbilt University's endowment returned a net 57.1% in the fiscal year ended June 30, according to a financial report on the Nashville, Tenn.-based university. The report did not provide benchma

  5. SPACs: After early investors flee SPAC deals, day traders rush in, PE-backed electric car maker Polestar worth $20bn in US SPAC deal, Europe's IPO market roars back to life but where are the SPACs?[more]

    After early investors flee SPAC deals, day traders rush in From WSJ: Day traders are targeting some companies that recently closed SPAC mergers, reinvigorating some of the meme-stock excitement that helped make such deals popular early in the year. The latest special-purpose-acquis