Tue, Nov 29, 2022
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Hedge fund business closes out 2021 with majority of funds reporting positive returns

Wednesday, January 12, 2022
Opalesque Industry Update - The global hedge fund business returned +1.58% in December, bringing the aggregate return for the industry for 2021 to +10.00%, according to the just-released December and year-end 2021 eVestment hedge fund performance data. Almost 80% of funds reporting to eVestment posted positive results for the year, with the average positive return coming in at +15.55%. For the small minority of funds that landed in the red for performance in 2021, the average return was -7.32%.

Investors rewarded the hedge fund industry's strong performance in 2021 with significant inflows. Through November of 2021, eVestment data shows investors plowing $34.77 billion into the business. That new money and positive performance brought overall hedge fund industry AUM to $3.57 trillion through November (the latest data available).

"It's easier to talk about the fund types that underperformed in 2021 since positive performance was so widespread last year," said eVestment Global Head of Research Peter Laurelli. "Brazil-focused funds posted the largest aggregate negative return in 2021 at -18.64%. China-focused funds also posted aggregate negative return in 2021 at -7.11%. Insurance-Linked funds and FX/Currency funds also ended the year in the red, but just barely. Generally though, it was a good year for the business."

India-focused funds biggest performance winners in 2021

India-focused funds were the biggest performance winners in 2021, with an aggregate return of +44.62%. These funds returned +3.89% in December.

At +5.15% average returns in December, Event Driven - Activist funds posted among the strongest monthly returns among all the fund types eVestment tracks. And at +27.28% for the full year, Event Driven - Activist funds were also among the biggest performance winners for 2021.

Among the primary fund markets eVestment tracks, Commodities funds were top performers in December at +2.49% and for the full year 2021 at +20.58%.

The biggest turnaround at the strategy level came from Alternative Risk Premia funds, which returned an average of +7.65% in 2021 vs. -10.93% in 2020.

The biggest turnaround among the industry's largest products came from the Managed Futures group, where the universe's 10 largest funds returned an average of -1.29% in 2020 and this year produced the best returns across the largest fund strategy segments at +11.98%.

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: British fund manager Jeremy Leach and his firms settle fraud litigation for $11.5m, DOL slams lawsuit seeking to overturn crypto guidance[more]

    British fund manager Jeremy Leach and his firms settle fraud litigation for $11.5m From Offshore Alert: Four days before a trial was due to start in the Cayman Islands, British fund manager Jeremy Leach and eight of his firms settled a fraud complaint by agreeing to pay $11.5 million o

  2. Family offices upbeat on private assets, reduce public assets exposure[more]

    Laxman Pai, Opalesque Asia: Family offices are investing more in private assets and cutting back on investments in public markets, with higher risk-adjusted returns cited as the main driver, said a study. According to the survey findings by German digital private equity firm Moonfare, and the

  3. Opalesque Exclusive: The UK is a nice place for us to fish[more]

    B. G., Opalesque Geneva for New Managers: Kernow Asset Management is a boutique in London that only trades UK-listed stocks. The UK is their home market, and as far as home markets go, it is a very interesting one,

  4. Opalesque Exclusive: A Swiss managed futures strategy that can offer diversification to any portfolio[more]

    B. G., Opalesque Geneva for New Managers: TARO (R) Diversified is a Swiss algorithmic and systematic investment strategy that offers diversification benefits to almost any professionally managed portfolio through it

  5. Alts manager Medalist Partners acquires a minority stake in Semper Capital to tap opportunities in structured credit[more]

    Laxman Pai, Opalesque Asia: Medalist Partners, which specializes in private credit, has acquired a minority stake in Semper Capital to extend its offerings to the mass market. Medalist currently manages approximately $2.2 billion in assets across strategies in asset-based private credit, struc