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Hedge funds gain 2.64% in August

Tuesday, September 22, 2020
Opalesque Industry Update - August was a positive month for hedge funds. The Preqin All-Strategies Hedge Fund benchmark gained 2.64%, building upon July's return of +3.29%. The 2020 YTD return rose to +5.60%, and the 12-month figure moved almost into double digits (+9.20%).

All top-level strategies tracked by Preqin made gains in August, with equity and event driven strategies the best performers at +3.54% and +3.16% respectively.

Equity markets experienced mild volatility, increasing trading opportunities for some managers.

At the other end of the spectrum, credit strategies are the only toplevel strategy posting a loss for 2020 YTD (-0.05%).

USD- and GBP-denominated hedge funds generated the strongest returns of all toplevel currencies tracked by Preqin in August, delivering +3.28% and +3.08% respectively.

BRL-denominated funds underperformed, falling to -0.33%. On a 12-month basis, USD-denominated hedge funds (+11.24%) outpace all others.

Compared with last month, August was relatively subdued for CTA strategies. Apart from EURdenominated CTA funds (-0.26%), though, each CTA strategy delivered positive returns, with discretionary CTAs gaining the most (+0.68%).

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