Thu, Dec 8, 2022
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Vast majority of hedge funds see positive returns in August, India-focused funds lead the business

Monday, September 13, 2021
Opalesque Industry Update - The aggregate return for the global hedge fund business was +0.77% in August, a return to positive territory following a dip into the red in July, according to the just-released eVestment August hedge fund performance data.

The vast majority of mangers reporting to eVestment (67.4%) had positive returns last month, the best level in three months. August gains brought the year-to-date hedge fund industry aggregate return to +9.53%.

"August hedge fund performance was interesting for its relative low dispersion of returns," said eVestment Global Head of Research Peter Laurelli. "The average of the positive return during the month was not great, +1.97%, the second lowest level of 2021, but the average loss was not tremendous either at -1.79%. The differential between average gains and average losses is the narrowest in over two years, since July 2019."

Drilling down into primary hedge fund markets and strategies eVestment tracks, Laurelli notes that "Managed Futures funds are an area we're keeping an eye on as net asset flows to these funds have been surprisingly positive this year and resulting returns will most likely dictate if this positive theme continues. While average returns for Managed Futures funds of -0.31% in August may seem relatively poor, the largest managers performed very differently, returning an average gain of +0.93%. An average YTD return for the 10 largest reporting Managed Futures products of +11.49% for the year so far is the kind of positive news this segment needs."

• Funds focused on India continue to be among the strongest performers, with aggregate returns of +5.50% in August. These funds' +41.43% YTD returns have them leading the entire hedge fund business.

• While Event Driven - Activist fund aggregate returns in August were only +0.60%, these funds are another YTD performance winner, with aggregate returns for the year at +24.00%.

• Equity funds saw aggregate returns of +1.03% in August and are at +11.97% YTD. Looking at Equity fund sub-sectors eVestment tracks, Equity - Technology funds were performance winners among this group in August at +1.57% while Equity - Financials and Equity - Energy funds are YTD performance winners, with both posting aggregate returns for the year of nearly +19% (+18.83% and +18.69% YTD respectively).

• Among primary strategies eVestment tracks, Origination & Financing funds were among the biggest performance losers at -2.48% in August. These funds' performance is especially interesting given the overall positive return environment for the hedge fund business in August and so far this year. These funds are still positive YTD, however, at +4.74%.

• Hedge funds domiciled in Japan came on strong in August, returning +5.48%. Japan-domiciled funds are at only +2.87% for YTD returns. Hedge funds focused on Japan also saw strong returns in August, at +4.01%.

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. Opalesque Exclusive: Marks delves into what really matters[more]

    B. G., Opalesque Geneva: Howard Marks, co-founder and co-chairman of Oaktree Capital Management, weighs what should and should not matter for investors in his latest memo last week. Among the things t

  2. 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

  3. 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

  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