"Difficult month" for hedge funds
08 October 2014 London
Image: Shutterstock
The September and Q3 Hedge Fund Performance report from eVestment has highlighted a variety of trends in hedge fund performance from a busy and tumultuous month.
Hedge funds declined an average of 0.72 percent in September but outpaced the S&P during what report author Peter Laurelli, eVestment鈥檚 vice president and head of research, called 鈥渁 difficult month鈥�.
The industry ended Q3 down 0.46 percent, the industry鈥檚 first quarterly decline since Q2 2013, and is up 2.89 percent through the first nine months of 2014.
Managed futures strategies have experienced the industry鈥檚 largest redemptions in 2014, but group鈥檚 performance in September and Q3 puts them among the best performing strategies in 2014.
The report also showed that losses from credit funds in September were highest since October 2008. Though nowhere near the magnitude of the drawdown, losses indicate elevated exposures to Europe and high-yield credit globally.
Laurelli commented: 鈥淎ctivist funds posted declines in September, however several funds had large gains which offset losses from many others. As a result, aggregate losses were more muted than expected given equity market declines. The group remains the best performing strategy of 2014.鈥�
Event-driven funds took in more assets than any other strategy in 2014. Though the group declined in September and Q3, year-to-date they stayed ahead of long/short equity, multi-strategy and both directional and relative value credit strategies.
Hedge funds declined an average of 0.72 percent in September but outpaced the S&P during what report author Peter Laurelli, eVestment鈥檚 vice president and head of research, called 鈥渁 difficult month鈥�.
The industry ended Q3 down 0.46 percent, the industry鈥檚 first quarterly decline since Q2 2013, and is up 2.89 percent through the first nine months of 2014.
Managed futures strategies have experienced the industry鈥檚 largest redemptions in 2014, but group鈥檚 performance in September and Q3 puts them among the best performing strategies in 2014.
The report also showed that losses from credit funds in September were highest since October 2008. Though nowhere near the magnitude of the drawdown, losses indicate elevated exposures to Europe and high-yield credit globally.
Laurelli commented: 鈥淎ctivist funds posted declines in September, however several funds had large gains which offset losses from many others. As a result, aggregate losses were more muted than expected given equity market declines. The group remains the best performing strategy of 2014.鈥�
Event-driven funds took in more assets than any other strategy in 2014. Though the group declined in September and Q3, year-to-date they stayed ahead of long/short equity, multi-strategy and both directional and relative value credit strategies.
NO FEE, NO RISK
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to 麻豆传媒 Finance Times
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to 麻豆传媒 Finance Times
