March 2023 | With Intelligence
February saw a reversal of January’s positive start to 2023 with hedge fund industry AuM down $10bn. The downturn was wholly driven by outflows as performance had a slight uptick of $0.6bn during the month and compares favorably with the S&P 500 (-2.6%) and the Dow Jones (-4.2%) as the likelihood of a global recession during 2023 increased. No strategy attracted inflows during February with long/short equity (-$6.6bn) reversing January’s impressive performance gains ($13.3bn) after the end of the US equity rally and continued Fed fiscal tightening.
February 2023 | With Intelligence
It was a positive start for hedge funds in 2023, with industry AuM up $5.1bn in January, reversing December’s $7.8bn decline. This uptick was driven by impressive performance as net outflows were $3.3bn in January, which is encouraging after a challenging 2022 when industry AuM was down over $200bn – driven by $164bn of outflows.
January 2023 | With Intelligence
After November’s promising uptick ($3.8bn), hedge fund industry AuM returned to the previous seven months’ record and was down $5.6bn in December, which took the YTD decline to $198bn. However, overall performance in December was impressive, up $8.5bn, with the net reduction driven by outflows of $14.1bn.
December 2022 | With Intelligence
Hedge funds helped investors benefit from the continuing global equity market uptick in November, gaining 1.4% during a promising month that saw the S&P 500 up 5.4%. Encouragingly, hedge fund industry AuM increased after seven consecutive months of decline, climbing by $9.8bn, reducing YTD losses to $198bn. Europe ($16bn) accounted for most of the AuM increase, driven by inflows rather than performance
November 2022 | With Intelligence
Hedge funds helped investors benefit from the global equity markets uptick in October gaining 1.3% during an encouraging month that also saw the S&P 500 up 8%. Despite this, hedge fund industry AuM declined for the seventh consecutive month, falling $3.8bn, which extended the YTD decline to $207bn.
October 2022 | With Intelligence
Hedge funds helped protect investors from the equity market turmoil in September, declining 2.2% during a volatile month that saw the S&P 500 decline 9.3%. Despite the relative outperformance, hedge fund industry AuM declined for the sixth consecutive month, falling $36.8bn, which extended the YTD decline to $178bn. Europe ($18.7bn) accounted for most of the AuM decline, driven by rising risk-off sentiment as the European Central Bank moved to raise interest rates by 75bps to combat soaring inflation, which hit a record high of 10% in September.
September 2022 | With Intelligence
Hedge funds largely protected investors from the equity market turmoil in August, posting flat returns of 0.02% during a volatile month that saw the S&P 500 decline 4.2%. Despite the relative outperformance, hedge fund industry AuM declined for the fifth consecutive month in August, falling $18.5bn, which extended the YTD decline to $146bn. North America accounted for the lion’s share of AuM decline as the region recorded net outflows of $10.1bn, driven by rising risk-off sentiment as inflation has remained rapid at 8.3% in August
despite the Federal Reserve’s aggressive tightening.
August 2022 | With Intelligence
Hedge fund industry AuM declined for the fourth consecutive month in July, falling $15.6bn, which extended the YTD decline to $123.7bn. The hedge fund industry did record performance-based gains of $3.1bn in July, supported by the rebound in global equity markets as the S&P 500 surged by 9.2%, but was unable to stem outflows ($18.8bn) as the likelihood of a global recession rose.
June 2022 | Eurekahedge
The Eurekahedge Hedge Fund Index declined -0.56% in May, trailing behind the S&P 500 which ended the month roughly flat. Heightened market volatility persisted through the month as the market continues to face strong headwinds from the ongoing war in Ukraine, COVID-19 pandemic, rising inflation and the potential for a faster pace of monetary policy tightening, fanning concerns that the economy might be moving towards a recession in the near future.
May 2022 | Eurekahedge
The Eurekahedge Hedge Fund Index declined -0.72% in April, outperforming the S&P 500 which fell -8.80% over the same period. Global equities tumbled in April amid an unprecedented confluence of headwinds stemming from the Russia-Ukraine war, ongoing supply chain disruptions which were exacerbated by the widening COVID-19 lockdowns in China and aggressive tightening of monetary policy by global central banks to combat rising inflation.
April 2022 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 1.35% in March, supported by the robust performance of the S&P 500 which returned 3.58% over the same period. Following Russia’s invasion of Ukraine on 24 February, the US and their allies imposed severe economic sanctions to punish Russia for starting the war and cripple the Russian economy, causing global equity markets to plummet over the first half of March as concerns grew over stagflation at a time when the US Federal Reserve is shifting to a more hawkish monetary policy stance in a bid to curb record levels of inflation.
March 2022 | Eurekahedge
The Eurekahedge Hedge Fund Index declined -0.26% in February 2022, outperforming the S&P 500 which was down 3.14% over the same period. Global equities tumbled as Russia’s invasion of Ukraine, the most dangerous international conflict since the 1962 Cuban missile crisis has led to increasing concerns about stagflation at a time when global central banks are tightening monetary policy in a bid to cool inflation.
February 2022 | Eurekahedge
The Eurekahedge Hedge Fund Index declined -1.23% in January, outperforming the global equity market as represented by the MSCI ACWI (Local) which declined -4.91% over the same period. Global equity markets tanked after market risk sentiment was dampened due to geopolitical concerns over the Russia-Ukraine crisis and the increasingly hawkish policy stance of the Federal Reserve to quell rising inflation, negatively impacting the performance of hedge funds.
January 2022 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 1.01% in December, supported by the robust performance of the global equity market as represented by the MSCI ACWI (Local) which returned 3.55% over the same period. The emergence of the highly contagious Omicron variant in late November negatively impacted risk sentiment in the first half of December as global COVID cases surged to unprecedented levels.
November 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 1.51% in October, supported by the strong rally of the global equity market as represented by the MSCI ACWI (Local) which returned 4.61% over the same period. Investors shrugged off concerns over enduring inflation pressures to make further upward progress, buoyed by strong corporate earnings, and the dovish stance of the Fed towards their monetary policy rate which acted as a tailwind to the performance of the global equities.
October 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.44% in September, outperforming the global equity market as represented by the MSCI ACWI (Local) which returned -3.55% over the same period. Concerns over rising inflation continue to weigh on markets with the Federal Reserve raising its inflation forecast of the year to 4.2%, up from the previous estimate of 3.4%, driven by supply chain bottlenecks and the developing energy crisis in Europe and China which has pushed energy prices up by 11.60% in September.
September 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.76% in August, trailing behind the global equity market as represented by the MSCI ACWI (Local) which gained 2.45% over the same period.
Global markets were buoyed by a rise in investor risk appetite due to the continuation of highly accommodative monetary policies and the dovish comments made by Federal Reserve chairman Jerome Powell during the Jackson Hole symposium.
August 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.27% in July, trailing behind the global equity market as represented by the MSCI ACWI (Local) which gained 0.40% over the same period. The steady progress of the COVID-19 vaccine rollout in several major developed markets enabled the relaxation of mobility restrictions which provided support to the global economic recovery. However, investor sentiment was dampened by the spread of the highly infectious Delta variant of COVID-19, leading to concerns that the economic momentum would not be sustainable.
July 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.26% in June, trailing behind the global equity market as represented by the MSCI ACWI (Local) which gained 1.93% over the same period. Covid-related mobility restrictions in most developed markets continued to be progressively relaxed as vaccination rates rise, providing support to the reopening of their economies.
June 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.87% in May, supported by the robust performance of the global equity market as represented by the MSCI ACWI (Local) which gained 0.83% over the same month. Year-on-year US inflation rose to 5.0% for May from 4.2% in April, the highest level in over a decade. The heightened inflation figures worried investors who were concerned that this could force the Federal Reserve to tighten monetary policy earlier than expected to achieve its 2% average inflation goal.
May 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 2.16% in April, supported by the robust performance of the global equity market as represented by the MSCI ACWI (Local) which gained 3.53% over the same month. Better than expected macroeconomic data and strong corporate earnings boosted the performance of the equity market as the S&P500 returned 5.24% in April. The Federal Reserve reassured the market that monetary policy will remain accommodative to support economic growth amid lingering fears that the emergence of new variants of COVID-19 could lead to recurring waves of infections and derail the recovery of the global economy.
April 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.95% in March 2021, supported by the robust performance of the global equity market as represented by the MSCI ACWI (Local) which gained 3.24% over the same period. The Federal Reserve reaffirmed their commitment to keep monetary policy accommodative for at least another two years and allow inflation to rise above 2% before considering any rate hikes. This led to increased inflation expectations among investors and continued selling pressure on long-dated US treasures. The yield of the 10-year treasury note rose by 34bp to end the month at 1.744%, more than doubling the 0.842% yield at the end of November 2020. The equity market in the United States continued to record strong returns in March 2021, with the DJIA gaining 6.62% and the S&P 500 gaining 4.24%. Equities were supported by the US$1.9 trillion economic stimulus package rolled out by the Biden administration as well as the continued speedy rollout of vaccinations.
March 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 2.99% in February 2021, outperforming the global equity market as represented by the MSCI ACWI which gained 2.72% over the same period. The global equity markets rallied strongly in the first two weeks of February, supported by strong corporate earnings and the increased likelihood that Biden’s new US$1.9 trillion economic stimulus package will be approved by Congress even in the absence of Republican support. In addition, the continued speedy rollout of vaccines across the United States led to optimism that a greater relaxation of virus control measures will be possible and allow the economy to return to normalcy sooner. These factors led to a sharp increase in inflation expectations and a significant rise in the yield of global longer tenor bonds.
February 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.54% in January 2021, outperforming the global equity market as represented by the MSCI ACWI which gained 0.11% over the same period. Global equities went on a roller coaster ride this month as their gains in the first three weeks were erased in the final week of the month due to market turbulence caused by the retail trading mania. In the US, Democratic Party candidates Jon Ossoff and Raphael Warnock defeated their Republican opponents in two runoff elections in Georgia, granting the Democrats control of the House, Senate and White House for the first time since 2011. This led to increased optimism that the Democrats would be able to push President Biden’s proposal for a US$1.9 trillion coronavirus relief package through the Senate without Republican support. However, market risk sentiment rapidly deteriorated as retail investors and notable hedge funds clashed over GameStop stock, negatively affecting investors’ confidence in the stability o
January 2021 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 3.30% in December 2020, supported by the strong performance of the global equity market as represented by MSCI ACWI which gained 4.04% during the month. In 2020, global hedge funds ended the year in double-digit performance with 11.68% return, recording their best annual performance in over a decade, despite the ongoing pandemic. In the earlier months of 2020, the COVID-19 outbreak forced non-essential businesses to temporarily cease their operations. This in turn caused a shutdown of broader economic activity resulting in the sharp increase in unemployment rate. Unemployment rate reached 14.8% in April 2020 in the US – a level that has not been seen since the Great Depression. However, risk assets made a strong comeback since end-March, supported by the massive economic stimulus, low-interest rates, reopening of the major economies, and positive development of COVID-19 vaccines which boosted the performance of the global equity market.
December 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 4.50% in November 2020 on the back of the robust performance of the global equity market as represented by the MSCI ACWI which gained 11.63% over the same period. Global equities reacted positively to the relatively smooth conclusion of the US presidential election and better-than-expected results of the effectiveness of the COVID-19 vaccines, eclipsing worries about the near-term economic outlook. In Europe, despite the reimposition of restrictive lockdown measures across many countries in the region to curb the increasing number of new COVID-19 infections, European stock indices rallied strongly as news of the better-than-expected efficacy of several vaccine candidates led to optimism that the worst of the pandemic could soon be over.
November 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.05% in October 2020, outperforming the global equity market as represented by the MSCI ACWI (Local), which lost 2.29% over the same period. The reimposition of national lockdowns across Europe, uncertainty in the outcome of the US presidential election, and the breakdown in US fiscal stimulus talks, resulted in the negative performance of global equities during the month. The acceleration of daily COVID-19 cases in Europe forced the authorities to reimpose restrictive measures to curb the increasing number of new infections, which acted as a headwind to the performance of the equity market in the region.
October 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.76% in September 2020, outperforming the global equity market as represented by the MSCI ACWI (Local), which lost 2.71% over the same period. Global equities ended their five-month rally over mounting concerns around Covid-19 cases globally which threaten to stall economic recovery given how ‘lockdowns’ continue to be the only modus operandi for governments in the absence of a vaccine. Markets are also beginning to worry over the limits of central bank monetary easing which has resulted in stretched valuations and limited real recovery on the main street, all this at a time when the second wave of Covid-19 is making landfall.
September 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 1.85% in August, bringing its year-to-date return to 3.79% and its five-month trailing return to 12.85% since end-March. Hedge fund managers benefitted from the robust performance of the global equity market as represented by the MSCI ACWI (Local) which gained 5.54% over the month. Risk assets reacted positively to the encouraging development of the COVID-19 vaccine and improving macroeconomic data. In the US, the deceleration of the spread of COVID-19 and the Fed's announcement on adopting a new inflation framework that could keep its policy rate lower for a longer period boosted the region's equity market during the month.
August 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 2.52% in July, supported by the robust performance of the underlying global equity markets as represented by the MSCI ACWI IMI (Local) which gained 3.67% over the month. The highlight of the month was the continued support for markets by global central banks, which once again pulled no surprises. While the debate around MMT (Modern Monetary Theory) continues to pick pace, in the presence of high unemployment and the absence of inflation, it appears that MMT proponents will have a walk over of sorts. This should continue to bode well for financial markets which are so far defying the natural laws of gravity that has otherwise stalled real economic activity globally. In the US, despite the fear of the increasing number of COVID-19 cases, the equity market in the region exhibited a strong run driven by the upbeat Q2 earnings of tech-companies, particularly the FAANG stocks, which beat market expectation.
July 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 1.38% in June, supported by the strong performance of the global equity market as represented by the MSCI ACWI IMI (Local), which returned 2.70% over the same month. The resumption of the economic activity of most countries, particularly in Europe and the US combined with an upbeat macroeconomic data, boosted market optimism towards a faster-than-expected recovery of the global economy from the crisis, which provided support to the performance of risk assets. In the US, strong labour data was recorded, particularly the nonfarm payroll that beat the market expectation by a substantial margin, acted as a tailwind to the performance in the region's equity market.
June 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 2.03% in May, supported by strong equity market performance as represented by the MSCI ACWI (Local), which gained 4.32%. Global equities ended the month on a positive note driven by market optimism on the reopening of major economies and expansionary central bank policies. The tech-heavy NASDAQ recorded a new all-time high as it gained 6.75% in May, while the S&P 500 was up 4.53% over the same period. In the same vein, European equities also climbed as the French and German governments unveiled a half-trillion recovery fund to help EU countries hit by the pandemic.
May 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 4.03% in April, supported by the strong performance of the global equity market which pushed the MSCI ACWI IMI (Local) up 10.47% over the month. Global equities enjoyed a strong rally throughout the month on the back of optimism over the development of potential COVID-19 vaccines and the reopening of the economy.
April 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 4.77% in March, outperforming the underlying equity market as represented by the MSCI ACWI IMI (Local), which lost 13.99% over the month. Global equities ended the month with double-digit losses, despite the partial recovery toward the end of the month, driven by fiscal and monetary stimulus packages. The situation surrounding the COVID-19 outbreak continued to worsen around the globe, with the United States overtaking China and Italy as the country with the highest number of confirmed cases. US authorities were forced to implement lockdown in most states adversely affected by the coronavirus outbreak, with New York being the hardest hit.
March 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 1.73% in February, outperforming the underlying equity market as represented by MSCI ACWI (Local) which plummeted 7.84% over the same period. Global equities started the month on a positive note, driven by the market optimism towards the containment of the COVID-19 as the number of newly infected people in Mainland China decelerated and central banks announced stimulus packages.
February 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index ended 2019 up 8.67%, recording its strongest annual performance since 2013 on the back of the de-escalation of the US-China trade war and accommodative central bank policies. Going into 2020, hedge fund managers returned 0.14% in January, outperforming the MSCI ACWI (Local) which slumped 0.90% over the month following the COVID-19 outbreak in China. Despite liquidity injection by the People’s Bank of China and the reduction of tariffs on US imports, investors remained concerned on the impact of the epidemic on the global economic outlook. Returns were mixed across regions in January, with Asia ex-Japan fund managers returning 0.93%, ahead of their peers focusing on North America, who ended the month down 0.11%. Long/short equities fund managers were down 0.35% in January as the weak equity market performance throughout the latter half of the month weighed on their returns.
January 2020 | Eurekahedge
The Eurekahedge Hedge Fund Index ended 2019 up 8.74%, recording its strongest annual performance since 2013. The global hedge fund industry has been supported by the global equity market rally on the back of the de-escalation of the US-China trade war and accommodative central bank policies. Positive geopolitical developments surrounding the trade war and Brexit have also sustained investors’ risk sentiment over the last quarter of the year. Returns were positive across regions, with Asia ex-Japan fund managers returning 2.58% in December, on the back of the region’s equity market rally. Fund managers focusing on Asia ex-Japan were up 12.03% over the year, outperforming their North American peers who returned 9.32% over the same period.
December 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.90% in November, bringing its year-to-date return to 7.27%. The global hedge fund industry has been supported by the global equity market rally on the back of optimism over the US-China trade negotiation progress and dovish central bank policies throughout the year. Positive geopolitical developments surrounding the trade war and Brexit have also sustained investors’ risk sentiment over the recent months. Returns were positive across regions, with North American fund managers returning 1.59% in November, on the back of the region’s equity market performance which resulted in a new all-time high for the S&P 500. On a year-to-date basis, fund managers focusing on Asia ex-Japan were up 9.42% over the first 11 months of the year, outperforming their North American peers who returned 7.86% over the same period.
November 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index declined 0.31% in October, trailing the global equity market which edged 1.93% higher over the month, as represented by the MSCI ACWI (Local). Global equities rallied throughout the month, supported by the continuation of the US-China trade talks which culminated in a partial trade agreement between the two countries. The bond market saw yields climb as the risk-on sentiment returned to the equity market and the Fed signalled that they are done with rate cuts for the moment. Returns were positive across regions, with Asia ex-Japan mandate returning 2.36% for the month. On a year-to-date basis, fund managers focusing on Asia ex-Japan were up 9.74% over the first 10 months of the year, outperforming their North American peers who returned 6.26% over the same period.
October 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index declined 0.30% in September, trailing the global equity market which edged 2.04% higher over the month, as represented by the MSCI ACWI (Local). Global equities rallied through the earlier half of the month, supported by the resumption of the US-China trade talks, only to retreat toward the end of the month as an impeachment inquiry was launched against the US President. The bond market saw yields decline as major central banks continued with their easing policies: the Fed cut its rate for the second time this year in September, and the ECB announced new stimulus packages, including the restart of their asset purchases. Returns were mostly positive across regions, with the exception of fund managers focusing on Europe, who were down 0.10% in September. Nonetheless, the mandate is still up 3.75% on a year-to-date basis. Japan-focused hedge funds were up 1.26% throughout the month, outperforming their Asia ex-Japan peers who were up 0.97%.
September 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.17% in August, outperforming the global equity market which slumped 2.37% over the month, as represented by the MSCI ACWI (Local). The re-escalation of the US-China trade war combined with other political concerns resulted in weak global equity performance during the month. Despite the ongoing trade talks, the US imposed additional tariffs to US$300 billion of Chinese imported goods. The move prompted China to levy retaliatory tariffs to US imported goods, which rattled the world’s financial markets. Meanwhile, the deteriorating bilateral relationship between Japan and South Korea, the ongoing protests in Hong Kong, and the heightened risk of a no-deal Brexit also contributed to the risk-off sentiment among investors. Fund managers focusing on North America and Asia ex-Japan were down 0.78% and 0.96% respectively in August. Nonetheless, the two mandates are still up 6.04% and 6.83% respectively on a year-to-date basis, owing to their strong per
August 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.62% in July, with positive returns across geographic mandates. Investor optimism towards the resumption of the US-China trade talks combined with the Fed’s anticipated rate cut boosted the US equity market to a new all-time high. Meanwhile in Asia, Asia ex-Japan hedge funds managed to record positive returns of 0.73% over the month. Despite the ongoing protests in Hong Kong and the trade dispute between Japan and South Korea, Asia ex-Japan hedge funds outperformed their North American peers who gained 0.32% over the same period. Roughly 33.7% of the hedge fund managers tracked by the Eurekahedge Global Hedge Fund Database were able to generate positive returns during the month.
July 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 1.83% in June, recouping the losses it suffered back in May as the global equity markets recovered during the month. Investor optimism over the progress of US-China trade talks, coupled with growing expectations of a Fed rate cut supported equity markets around the globe, with the MSCI AC World Index rallying 5.41% in June. Roughly 78.2% of the hedge fund managers tracked by the Eurekahedge Global Hedge Fund Database were able to generate positive returns amidst the risk-on environment during the month. On a year-to-date basis, hedge fund managers have returned 5.84%, recording their strongest 1H performance since 2009.
June 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index slumped 0.71% in May, recording its first monthly decline in 2019 after posting four consecutive positive months. On a year-to-date basis, hedge fund managers are still up 4.32%, supported by the recovery in global equity and bond markets in the first quarter. The return of the US-China trade tension during the month of May weighed on the global economic outlook, resulting in the weak performance of global equities. The MSCI AC World Index plummeted 6.12% in May, as investors were unnerved by the escalating trade disputes. On the other hand, global government bonds saw gains as yields fell on the back of expectations that the Fed will soon cut rates in response to weak economic outlook.
May 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 1.06% in April, recording its fourth consecutive positive month of 2019. On a year-to-date basis, the index was up 5.15%, supported by the recovery in global equity and bond markets since the beginning of the year. Promising economic data, dovish central banks and optimism over the US-China trade talks over the first quarter helped fund managers recover from the losses they suffered last year. The MSCI AC World Index rallied 3.38% in April, supported by robust labour market data and strong earnings in the US. Despite ongoing concerns over slowing growth, China’s economy expansion over the first quarter beat estimates, supporting the region’s equity markets. However, the positive results led to unease among investors as the PBOC may decide to scale back their policy support. The majority of hedge fund managers tracked by Eurekahedge ended the month of April up, with those focusing on North America and Japan outperforming their peers. Investor all
April 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 1.06% in March, wrapping the first quarter of the year gaining 4.36% year-to-date. Hedge fund managers narrowly trailed behind the global equity market as represented by the MSCI AC World Index which gained 1.09% in March. The global equity and bond markets have rallied through the first quarter of 2019, supported by the dovish stance exhibited by major central banks, as well as the optimism over the US-China trade negotiations. On the other hand, concerns over slowing economic growth have persisted through the quarter, with growth forecasts being cut. The majority of hedge fund managers tracked by Eurekahedge recorded positive returns in March, with those focusing on Asia ex-Japan countries posting strongest gains. Despite the positive performance exhibited by hedge fund managers, investor appetite remained muted as the industry saw net investor outflows throughout the month.
March 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.89% in February, supported by the continued recovery of the global equity market which pushed the MSCI AC World Index 3.03% higher. The majority of hedge fund managers tracked by Eurekahedge recorded positive returns in February, with those utilising long/short equities and event driven strategies outperforming other mandates. The patient wait-and-see approach to raising rates from the US Federal Reserve and optimistic anticipation over the potential resolution of the US-China trade war helped sustain the global equity market performance throughout the month. Apart from that, slowing economic growth across the globe has prompted central banks to raise concerns over lower inflation and cut their short-term growth forecasts, resulting in lower yields in the bond markets.
February 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index rallied 2.32% in January, supported by the strength in global equity markets which pushed the MSCI AC World Index 7.36% higher, recovering from the losses it suffered back in December. Cautious tone from the Federal Reserve and positive expectations on the US-China trade talk resulted in strong gains across the global equity and fixed income markets during the month, despite lingering concerns over slowing economic growth. Weaker US dollar and improving trade outlook acted as tailwinds for fund managers with exposure toward Asia and emerging markets in general, resulting in positive returns across geographic mandates throughout the month.
January 2019 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 1.31% in December , outperforming the MSCI AC World Index which declined 7.61% in what turned out to be the worst month of 2018 for global equity markets. Concerns over the Fed’s stance which turned out to be less Dovish than what investors expected triggered major equity sell-offs around the globe, and sent major equity indices plummeting during the month.
December 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.14% in November while underlying markets as represented by the MSCI World Index edged 1.11% higher during the month as equity markets recovered from the decline in October. Dovish tone from the Fed chair raised expectations of a more gradual rate hike pace, providing a tailwind for equity markets around the globe. Positive anticipation over a potential truce between Trump and Xi during the G20 summit has also helped improve market sentiment throughout the latter half of the month.
November 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 2.27% in October while underlying markets as represented by the MSCI World Index declined 7.33% over the same period. Concerns over rising interest rates in the US coupled with the prospects of political indecisiveness and turmoil in Washington following the Democrat’s House win saw US markets trade lower and give back their gains for the year.
October 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.06% in September while underlying markets as represented by the MSCI World Index gained 0.07% over the same period. Asia focused strategies saw yet another month of decline as recovery in the US coupled with concerns over the US China trade war kept the pressure up on Asian markets with underlying Greater China mandates suffering steep losses. Across strategies, distressed debt, fixed income and arbitrage hedge funds led the table with gains of 1.84%, 0.70% and 0.29% respectively.
September 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index was up a flat 0.09% in August while underlying markets as represented by the MSCI World Index gained 1.06% over the same period. Asia focused strategies saw yet another month of decline as recovery in the US coupled with concerns over the US China trade war kept the pressure up on Asian markets with underlying Greater China mandates suffering steep losses. Across strategies, distressed debt, CTA/managed futures and relative value hedge funds led the table with gains of 1.52%, 1.05% and 0.58% respectively.
August 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.41% in July while underlying markets as represented by the MSCI World Index gained 2.59% over the same period. Regional mandates with the exception of underlying Asia focused hedge funds ended the month in the green. Asia focused strategies saw yet another month of decline as recovery in the US coupled with concerns over the US China trade war kept the pressure up on Asian markets. Across strategies, distressed debt and fixed income hedge funds led the table with gains of 0.76% each whilst CTA/managed futures hedge funds posted yet another month of losses.
July 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.34% in June while underlying markets as represented by the MSCI World Index declined 0.21% over the same period. Regional mandates across the board with the exception of Australia/New Zealand mandated hedge funds ended the month in the red, with emerging markets, in particular Asia-focused strategies seeing the largest declines. Across strategies, event driven hedge funds led the table with gains of 1.17% followed by relative value hedge funds which were up 0.66%.
June 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.33% in May while underlying markets as represented by the MSCI World Index were up 0.84% over the same period. Among regional mandates, North American managers posted the best gains, up 1.43% during the month followed by Asia ex-Japan hedge funds which saw gains of 1.26%. Across strategies, event driven hedge funds led the table with gains of 1.69% followed by long/short equities hedge funds which were up 1.09%.
May 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.55% in April while underlying markets as represented by the MSCI World Index was up 1.18% over the same period. Among regional mandates, European managers posted the best gains, up 0.78% during the month followed by North American hedge funds which saw gains of 0.27%. Across strategies, distressed debt hedge funds led the table with gains of 1.12% followed by macro hedge funds with 0.84%.
April 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index declined 0.54% in March while underlying markets as represented by the MSCI World Index declined 2.21% over the same period. Among regional mandates, Latin American managers posted the best gains, up 0.81% while all other regional mandates languished into negative territory. Across strategies, distressed debt hedge funds led the table with gains of 5.74% followed by relative value hedge funds which were up 0.31%.
March 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index declined 1.62% in February outperforming underlying markets as represented by the MSCI World Index which fell 3.68% over the same period. Among regional mandates, Latin American managers led the table, up 0.66% during the month while other regional mandated funds languished into negative territory. Across strategies, distressed debt hedge funds led the table with gains of 1.32% followed by arbitrage hedge funds which were up 0.53%.
February 2018 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 2.20% in January while underlying markets as represented by the MSCI World Index gained 3.78% over the same period. Among regional mandates, Latin American managers led the table, up 4.47% during the month followed by Asia ex-Japan managers who were up 3.72%. Across strategies, CTA/managed futures hedge funds led the table with gains of 3.54% followed by long/short equities hedge funds which were up 2.37%.
January 2018 | Eurekahedge
Hedge funds edged higher in the final month of the year, with the Eurekahedge Hedge Fund Index gaining 0.86% in December while underlying markets as represented by the MSCI World Index was up 1.19% over the same period. Among regional mandates, Latin American managers led the table, up 2.50% during the month followed by Asia ex-Japan managers who were up 1.41%. Across strategies, event driven hedge funds led the table in December with gains of 1.57% followed by multi-strategy hedge funds which were up 1.31%.
December 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.32% in November while underlying markets as represented by the MSCI World Index was up 1.16% over the same period. Among regional mandates, Asia ex-Japan managers posted the best gains, up 1.53% during the month followed by Japanese and North American hedge funds seeing gains of 1.06% and 0.86% respectively. Across strategies, relative value hedge funds led the table with returns of 0.89% followed by long/short equities and multi-strategy hedge funds which were up 0.75% and 0.22% respectively, the only two strategies who posted 12 consecutive months of gains in 2017 as global equity markets continue to rally throughout the year.
November 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 1.28% in October while underlying markets as represented by the MSCI World Index gained 2.56% over the same period. Among regional mandates, Asia ex-Japan managers led the table, up 2.82% during the month followed by Japanese managers who were up 1.77%. Across strategies, CTA/managed futures hedge funds led the table with gains of 2.66% followed by macro hedge funds which were up 1.72%.
October 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.42% in September1 while underlying markets as represented by the MSCI World Index2 were up 2.17% over the same period. Among regional mandates, Japanese managers posted the best gains with 1.72% during the month followed by Asia ex-Japan and Latin American hedge funds with returns of 1.25% and 1.15% respectively. Across strategies, long/short equity hedge funds led the table with gains of 1.46% followed by event driven hedge funds, up 0.80%.
September 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.73% in August while underlying markets as represented by the MSCI World Index, were up 0.15% over the same period. Among regional mandates, Latin American managers led the table, up 3.26% during the month followed by Asia ex-Japan managers who were up 1.50%. Across strategies, CTA/managed futures hedge funds led the table with gains of 1.24% followed by macro hedge funds which were up 1.04%.
August 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index grew 0.88% in July while underlying markets, as represented by the MSCI World Index, gained 1.64% over the same period. Among regional mandates, Latin American managers led the table, up 3.68% during the month followed by Asia ex-Japan managers who were up 2.45%. Across strategies, long/short equities hedge funds led the table with gains of 1.15% followed by CTA/managed futures hedge funds which were up 1.08%.
July 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index down 0.07% in June while underlying markets as represented by the MSCI World Index gained 0.18% over the same period. Among regional mandates, Asia ex-Japan managers led the table with growth of 1.29% during the month followed by Japanese managers who were up 1.05%. Across strategies, event driven hedge funds led the table with gains of 0.79% followed by relative value hedge funds which were up 0.61%.
June 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.33% in May while underlying markets as represented by the MSCI World Index gained 1.09% over the same period. Among regional mandates, Japanese managers led the table, up 1.58% during the month followed by Asia ex-Japan managers who were up 0.93%. Across strategies, event driven hedge funds led the table with gains of 0.71% followed by long/short equities hedge funds with gains of 0.49%.
May 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.64% in April while underlying markets as represented by the MSCI World Index gained 1.17% over the same period. Among regional mandates, Asia ex-Japan managers led the table, up 1.28% during the month followed by European managers who were up 1.10%. Across strategies, event driven hedge funds led the table with gains of 1.44% followed by long/short equities hedge funds which were up 1.05%.
April 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.34% in March while underlying markets as represented by the MSCI World Index gained 0.79% over the same period. Among regional mandates, Asia ex-Japan managers led the table, up 2.02% during the month followed by European managers who were up 0.73%. Across strategies, long/short equities hedge funds led the table with gains of 1.06% followed by event driven hedge funds which were up 0.47%.
March 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.97% in February while underlying markets as represented by the MSCI World Index gained 2.72% over the same period. Among regional mandates, Latin American managers led the table, up 2.75% during the month followed by Asia ex-Japan managers with 1.43%. Across strategies, distressed debt hedge funds were in the lead with 1.34% gains followed by event driven hedge funds with 1.26%.
February 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.87% in January while underlying markets as represented by the MSCI World Index gained 1.49% over the same period. Among regional mandates, Latin American managers led the table, up 3.73% during the month followed by Asia ex-Japan managers who increased by 1.93%. Across strategies, event driven hedge funds led the table with gains of 2.02% followed by long/short equities hedge funds which increased by 1.65%.
January 2017 | Eurekahedge
The Eurekahedge Hedge Fund Index grew 1.03% in December while underlying markets as represented by the MSCI World Index were up 2.38% over the same period. Among regional mandates, North American managers led the table, up 1.22% during the month followed by European managers with 1.07%. Across strategies, event driven hedge funds were in the lead with 1.65% gains followed by macro hedge funds with 1.32%.
December 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.41% in November while underlying markets as represented by the MSCI World Index grew 2.88% over the same period. Among regional mandates, North American managers led the table, up 2.28% during November followed by Japan managers with 1.16% gains. Across strategies, event driven hedge funds led with 1.85% growth followed by distressed debt hedge funds which grew 1.69%.
November 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index declined 0.48% in October outperforming underlying markets as represented by the MSCI World Index which was down 1.38% over the same period. Among regional mandates, Latin American managers led the table, up 4.07% during the month followed by Japan managers who gained 2.28%. Across strategies, distressed debt hedge funds led the table with gains of 1.96% followed by fixed income hedge funds which were up 0.51%.
October 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.48% in September while underlying markets as represented by the MSCI World Index grew 0.19% over the same period. Among regional mandates, Japan managers led the table up 1.27% during the month followed by North American managers who were up 0.93%. Across strategies, distressed debt hedge funds led the table with gains of 1.12% followed by event driven hedge funds with 0.86%.
September 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.03% in August while underlying markets as represented by the MSCI World Index gained 0.48% over the same period. Among regional mandates, Asia ex-Japan managers led the table, up 1.26% during the month followed by Latin American managers who were up 0.71%. Across strategies, distressed debt hedge funds led the table 1.71% returns followed by event driven hedge funds with 1.42%.
August 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 1.52% in July while underlying markets as represented by the MSCI World Index gained 4.18% over the same period. Among regional mandates, Latin American managers led the table, up 4.44% during the month followed by Asia ex-Japan managers who grew 2.79%. Across strategies, relative value hedge funds led the table with gains of 2.51% followed by long/short equities hedge funds which were up 2.34%.
July 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.63% in June while underlying markets as represented by the MSCI World Index fell 1.38% over the same period. A weak global macroeconomic outlook coupled with strong headwinds in the aftermath of Brexit proved to be a challenging environment for managers.
June 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.40% in May while underlying markets as represented by the MSCI World Index grew by 1.28% over the same period. Among regional mandates, North American managers posted the best returns, up 1.03% during the month followed by European and Japanese hedge funds which saw gains of 1.00% each. Across strategies, distressed debt hedge funds led the tables with gains of 1.66% followed by event driven hedge funds which were up 1.29%.
May 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.88% in April while underlying markets as represented by the MSCI World Index gained 0.67% over the same period. Among regional mandates, Latin American managers posted the best gains, up 3.93% during the month followed by North American hedge funds which saw gains of 1.25%. Across strategies, relative value hedge funds led the table with gains of 1.96% followed by event driven hedge funds which were up 1.34%.
April 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 1.33% in March while underlying markets as represented by the MSCI World Index declined 5.47% over the same period. Among regional mandates, Latin American managers posted the best gains, up 4.85% during the month followed by Asia ex-Japan hedge funds which saw gains of 4.78%. Across strategies, event driven hedge funds led the table with gains of 3.16% followed by distressed debt hedge funds were up 3.03% - an impressive rebound after their four-month losing streak.
March 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index gained 0.36% in February while underlying markets as represented by the MSCI World Index declined 1.43% over the same period. Among regional mandates, Japanese managers posted the steepest loss down 3.83% during the month followed by Asia ex-Japan hedge funds which saw losses of 1.78%. Across strategies, CTA/managed futures hedge funds led the table with gains of 2.62% propped up by exposure into safe haven assets such as gold and the Bund.
February 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index lost 1.20% in January while underlying markets as represented by the MSCI World Index were down 5.71%. All regional mandates were down during the month as global equities faced intense sell-off pressure; much of the weakness in equity markets was led by Asian equities. Asia ex-Japan managers posted losses of 3.15% during the month followed by Japanese hedge funds which saw losses of 2.71%. Across strategies, CTA/managed futures hedge funds led the table with gains of 2.32% during the month while other strategies languished in negative territory.
January 2016 | Eurekahedge
The Eurekahedge Hedge Fund Index lost 0.70% in December while underlying markets as represented by the MSCI World Index were down 2.23%. The performance of regional mandates was mixed during the month with Asia ex-Japan managers leading the table with gains of 1.45% followed by Japanese managers up 0.27%. Meanwhile the performance of European managers was flat, while Latin American and North American hedge funds languished, down 0.60% and 0.94% respectively during the month.
December 2015 | Eurekahedge
The Eurekahedge Hedge Fund Index continues to gain ground in Q4, ending with an increase of 0.77% during the month of November. Meanwhile underlying markets as represented by the MSCI World Index were up 0.38%. All hedge fund regional mandates posted positive returns during the month with most equity markets ending the month in positive territory.
November 2015 | Eurekahedge
The Eurekahedge Hedge Fund Index ended its four month losing streak, gaining 1.33% in October 2015. Underlying markets as represented by the MSCI World Index were also up this month, gaining 7.22%. Returns across all regional mandates were positive this month as the market rebounded in October.
October 2015 | Eurekahedge
The Eurekahedge Hedge Fund Index fell into negative territory this month, down 0.58% in September 2015, though outperforming underlying markets as represented by the MSCI AC World Index All Core which lost 3.60% during the month. Returns across all regional mandates were mixed as market and macroeconomic themes are starting to shape investor sentiments globally
September 2015 | Eurekahedge
The Eurekahedge Hedge Fund Index fell into negative territory this month, down 1.81% in August 2015, though outperforming underlying markets as represented by the MSCI World Index which was down 6.66% during the month. Returns across all regional mandates were dented this month as investors grew cautious of the uncertain economic outlook.
August 2015 | Eurekahedge
The Eurekahedge Hedge Fund Index rebounded this month, up 0.27% in July 2015, while the MSCI World Index was up 1.34%. Returns for Asia ex-Japan were dented this month, down 2.60% as the end of the Chinese equity market euphoria has depressed gains for hedge funds with Greater China exposure. However, European, North American and Japanese equity markets have bounced back from losses in the previous month with developed market hedge fund mandates posting good gains.
July 2015 | Eurekahedge
The Eurekahedge Hedge Fund Index posted its first losing month in 2015, down 1.19% in June, outperforming underlying markets as represented by the MSCI World Index which was down 2.88% during the month. Despite a strong start to the year, events in Europe and China have dented hedge fund returns in June, with overall 1H 2015 returns coming in at 3.37%, comparable to the 3.11% gain seen over the same period last year.
June 2015 | Eurekahedge
The Eurekahedge Hedge Fund Index posted its fifth consecutive month of gains for 2015 and was up 0.54% in May while underlying markets as represented by the MSCI World Index gained 0.81% during the month. On a year-to-date basis, hedge funds are up 4.49% with Asian managers leading the tables with gains of 11.44%.
May 2015 | Eurekahedge
Hedge funds edged higher in April to close at another record high, with the Eurekahedge Hedge Fund Index gaining 0.93%. However, hedge funds underperformed underlying markets this month as the MSCI World Index gained 1.25%. Easy monetary policy in Japan and Europe continued to push regional equities into record territory, while US market volatility rose with increasing uncertainty over the Federal Reserve’s timing of interest rate hikes and the outcome of the Greek talks.
April 2015 | Eurekahedge
Hedge funds edged even higher in March to close at another record high, with the Eurekahedge Hedge Fund Index gaining 0.78%, outperforming underlying markets as the MSCI World Index fell 0.39%. Easy monetary policy in Japan and Europe continued to push regional equities into record territory, while US market volatility rose with increasing uncertainty over the Federal Reserve’s timing of interest rate hikes and the outcome of the Greek talks.
March 2015 | Eurekahedge
Hedge funds edged even higher in February to close at another record high, with the Eurekahedge Hedge Fund Index gaining 1.57%, though underperforming underlying markets as the MSCI World Index gained 5.47% after equities surged higher during the month. A return of investor risk appetite and easy monetary policy pushed equities into record territory, while volatility faded away with investors gaining further confidence in the market’s strength.
February 2015 | Eurekahedge
Hedge funds were off to a strong start in 2015, with the Eurekahedge Hedge Fund Index gaining 1.29%, outperforming underlying markets as the MSCI World Index fell 0.41% over concerns about a lack of global demand and Greece’s debt problems. This atmosphere of uncertainty and central bank activity contributed to heightened market volatility, which picked up in the first trading month of the year. US equities witnessed their largest loss since January 2014, underperforming global markets significantly as concerns over the strong US dollar and declining growth overseas weighed in on regional markets despite the strong economic picture in the US.
January 2015 | Eurekahedge
Hedge funds finished 2014 up 4.46%, with the Eurekahedge Hedge Fund Index gaining another 0.14%, outperforming underlying markets as the MSCI World Index fell 0.80% in December after equities retreated from their intra-month heights. Further steep falls in oil prices and fears of a global slowdown contributed to an atmosphere of uncertainty, which caused volatility to pick up in the final trading month of the year as the market traded in a choppy sideways manner.
December 2014 | Eurekahedge
Hedge funds resumed their upward climb for the year, with the Eurekahedge Hedge Fund Index gaining 1.40%, underperforming underlying markets as the MSCI World Index climbed 2.34% after bouncing back from October’s major selloff. In the US, better-than-expected unemployment and third quarter GDP figures have supported equities higher and lent additional credence to the country’s recovery.
November 2014 | Eurekahedge
Hedge funds posted their sixth month of negative returns for the year, with the Eurekahedge Hedge Fund Index down 0.27%, underperforming underlying markets as the MSCI World Index climbed 1.15% after a major worldwide selloff and subsequent recovery. In the US, the Federal Reserve completed its tapering program this month and announced that it is still on track towards normalising interest rates given its inflation and employment targets. Over in Asia, the Bank of Japan (BoJ) surprised market participants by going all out to tackle deflation and embarking on further easing, driving the yen to new lows against the greenback while sparking off another rally in the Nikkei.
October 2014 | Eurekahedge
Hedge funds ended September flat with the Eurekahedge Hedge Fund Index returning 0.00%, outperforming underlying markets as the MSCI World Index slipped 1.86%, with market volatility picking up after the seasonal summer doldrums. In the US, investors are gearing up in earnest at the prospect of tighter monetary policy in the United States as the economic recovery continues to gain strength, with concerns continuing to remain regarding the pace of a rate rise given the mammoth challenge of unwinding the Fed’s balance sheet.
September 2014 | Eurekahedge
Hedge funds ended August in positive territory with the Eurekahedge Hedge Fund Index up 1.30% trailing the MSCI World Index which gained 2.48%, with market volatility falling across the different asset classes. In the US, the economy continues to show modest growth, prompting more speculation regarding possible revisions to the schedule for the Fed’s eventual raising of interest rates. Over in the Eurozone, inflation and growth remains weak, spurring Draghi into action to fulfil his commitment towards fighting deflation. European equities rallied in anticipation of a fresh round of quantitative easing, with regional markets ending the month largely in positive territory.
August 2014 | Eurekahedge
Hedge funds finished the month of July in the red with the Eurekahedge Hedge Fund Index down 0.10% (2.82% year-to-date), outperforming the MSCI World Index which declined 0.83% from rising geo-political tensions between Russia and the west, and concerns over Portugal’s banking sector weighed in on investor sentiment. Despite strong second quarter growth numbers in the US, anxiety continues to grow regarding the timing for the Fed’s abandonment of its zero-interest-rate policy following dissenting opinions on the issue in the recent FOMC meeting. Asian markets evaded the overall negative sentiment as healthy macro-economic numbers from China gave a boost to regional equity markets with Asian mandated hedge funds ending July on a strong note.
July 2014 | Eurekahedge
Hedge funds ended June in positive territory with the Eurekahedge Hedge Fund Index up 1.25% and ended the second quarter of the year on a stronger note. On a year-to-date basis, hedge funds are up 3.00% while the MSCI World Index has returned 4.27% in the first half of 2014. Global markets were supported by accommodative monetary policies in June and steady gains in the US jobs market data, with the ECB initiating negative rates on bank deposits and indicating that unconventional monetary policy tools were still in reserve should the mild recovery in Eurozone falter.
June 2014 | Eurekahedge
Hedge funds ended May in positive territory with the Eurekahedge Hedge Fund Index up 1.12% as global markets showed signs of stabilisation following a choppy start to the year. Moderate levels of global economic activity coupled with a supportive monetary policy outlook led to a pro-risk environment in May which saw equities and bonds appreciate while volatility levels subsided.
May 2014 | Eurekahedge
Hedge funds posted their second consecutive month of negative returns in April with the Eurekahedge Hedge Fund Index down 0.13% as global markets continued to falter amid a sluggish start to the year. On a year-to-date basis, hedge funds are up 0.78%, slightly ahead of the MSCI World Index which returned 0.75% in the first four months of the year.
April 2014 | Eurekahedge
Hedge funds sealed the first quarter of the year with another month of negative returns, down 0.35% in March as managers navigated through a choppy start to the year. However, strong returns posted by fund managers in the previous month saw them through with the Eurekahedge Hedge Fund Index up 0.87% in Q1 2014, outperforming the MSCI World Index which has gained 0.67% over the same period.
March 2014 | Eurekahedge
Hedge funds posted a strong rebound in February with the Eurekahedge Hedge Fund Index up 1.79% as underlying markets rallied with the MSCI World Index gaining 3.87% during the month.
Final asset flow figures for January revealed that managers incurred performance-based losses of US$4.5 billion while recording net asset outflows of US$1.7 billion as hedge funds got off to a rough start in 2014. Preliminary data for February shows that managers have posted performance-based gains of US$14.8 billion while net asset inflows stand at US$11.0 billion, bringing the current assets under management (AUM) of the industry to US$2.03 trillion – the highest level on record.
February 2014 | Eurekahedge
Hedge funds started off the year against the backdrop of a difficult market setting as concerns over the health of the global economic recovery resurfaced; aided by disappointing PMI numbers from China and a deteriorating situation in emerging economies as the ‘QE withdrawal symptoms’ began to manifest themselves yet again. The Eurekahedge Hedge Fund Index was down 0.48% during the month, outperforming underlying markets as the MSCI World Index declined 3.74% in January.
January 2014 | Eurekahedge
Hedge funds witnessed their fourth consecutive month of positive returns as global markets ended the year on a strong note of optimism. The Eurekahedge Hedge Fund Index was up 0.98% during the month, bringing its 2013 returns to 8.02%. Global markets welcomed outgoing Fed chairman Ben Bernanke’s commitment to a low interest rate regime in the post-QE tapering environment with the MSCI World Index gaining 1.67% in December.
December 2013 | Eurekahedge
Hedge fund returns were up for the third consecutive month as markets remained upbeat following encouraging job creation data from the US, with Janet Yellen’s dovish sentiments regarding the short-term continuation of the Fed’s QE program giving a further leg up to investor sentiment. The Eurekahedge Hedge Fund Index was up 1.31% during the month, bringing its year-to-date (YTD) return to 7.34%. The MSCI World Index gained 1.27% during the month.
November 2013 | Eurekahedge
Hedge fund returns were up for the second consecutive month in October amid trend reversals in the underlying markets. The Eurekahedge Hedge Fund Index was up 1.41% during the month, bringing its year-to-date return to 5.84%. The MSCI World Index gained 3.75% during the month.
October 2013 | Eurekahedge
Hedge funds were back in the black in September amid rallies in the underlying markets. The Eurekahedge Hedge Fund Index was up 1.18% during the month as global markets trended upwards, war in the Middle East was averted and the US Federal Reserve did not announce the speculated tapering of its asset purchase program. The MSCI World Index gained 3.87% during the month.
September 2013 | Eurekahedge
Hedge funds posted slightly negative returns in August, amid increasing risk aversion in the markets. The Eurekahedge Hedge Fund Index was down 0.23% during the month as global markets reverted to ‘risk-off’ mode amid fears of another war in the Middle East and speculation that the US Federal Reserve will slow down its asset purchase program. The MSCI World Index was down by 2.26 % during the month.
August 2013 | Eurekahedge
Hedge funds were back in the black in July as global markets swung upwards on the back of reassuring announcements from the US and European central banks. The Eurekahedge Hedge Fund Index gained 1.02% during the month bringing its year-to-date return to 3.54%. The MSCI World Index was up by 4.41% during the month.
July 2013 | Eurekahedge
Hedge funds witnessed negative returns in June, bringing an end to their seven month winning streak since November 2012. The Eurekahedge Hedge Fund Index was down 1.45% during the month as global markets reverted to ‘risk-off’ mode amid speculation that the US Federal Reserve will slow down its asset purchase program. The MSCI World Index was down by 3.10 % during the month.
June 2013 | Eurekahedge
Hedge funds witnessed negative returns in June, bringing an end to their seven month winning streak since November 2012. The Eurekahedge Hedge Fund Index was down 1.45% during the month as global markets reverted to ‘risk-off’ mode amid speculation that the US Federal Reserve will slow down its asset purchase program. The MSCI World Index was down by 3.10% during the month.
May 2013 | Eurekahedge
Hedge funds witnessed another month of positive returns in April amid mixed returns in global markets. The Eurekahedge Hedge Fund Index was up 0.87% during the month, witnessing some trend reversals in the underlying markets. The MSCI World Index gained 2.02% during the month.
April 2013 | Eurekahedge
Hedge funds posted positive returns in March amid mixed returns in global markets. The Eurekahedge Hedge Fund Index was up 0.69% during the month as some risk aversion returned to the markets due to developments in Europe. Comparatively the MSCI World Index gained 1.76% during the month.
March 2013 | Eurekahedge
Hedge funds posted marginally positive returns in February amid mixed returns in global markets. The Eurekahedge Hedge Fund Index was up 0.22% during the month as some risk aversion returned to the markets due to political and economic developments in Europe. The MSCI World Index was down by 0.07% during the month.
February 2013 | Eurekahedge
Hedge funds started off 2013 in a positive fashion, posting excellent returns on the back of rallying markets globally. The Eurekahedge Hedge Fund Index was up 2.32% during the month, the strongest January return since 2006. Most underlying markets witnessed rallies as the MSCI World Index gained 4.66%.
January 2013 | Eurekahedge
Hedge funds finished 2012 on a high note as global markets rallied at the year-end and many managers were able to capture the upside on offer. The Eurekahedge Hedge Fund Index was up 1.46% during the month, ending the year at a healthy 6.19%. Comparatively the MSCI World Index gained 2.22% during the month.
December 2012 | Eurekahedge
Hedge funds witnessed a month of healthy returns and positive asset flows in November as the prevailing sentiment turned towards the risk-on mode. The Eurekahedge Hedge Fund Index was up 0.42% as most underlying markets witnessed trend reversals in the middle of the month. Comparatively, the MSCI World Index was up by 1.05% during the month.
Total assets under management (AUM) increased by US$7.7 billion during the month, bringing the size of the industry to US$1.77 trillion. Hedge funds posted performance-based gains of US$1.8 billion as most strategies were in the black in November. Net positive asset flows were also witnessed as investors allocated net US$5.9 billion to the industry.
November 2012 | Eurekahedge
Hedge funds ended their winning run in October with flat-to-slightly-negative returns for the month. The Eurekahedge Hedge Fund Index was down 0.19%1 during the month bringing its October year-to-date (YTD) return to 4.11%. The month witnessed a difficult trading environment for hedge funds as underlying markets witnessed trend reversals across a variety of sectors. The MSCI World Index2 dropped by 0.76% in October.
October 2012 | Eurekahedge
Hedge funds witnessed a month of healthy returns and positive asset flows in September as the prevailing sentiment remained in the risk-on mode. The Eurekahedge Hedge Fund Index was up 0.96%1 during the month while most underlying markets witnessed rallies on the back of monetary easing announcements by the ECB and the US Federal Reserve. The MSCI World Index was up by 2.29%2 during the month.
September 2012 | Eurekahedge
Hedge funds were up for the second month running in August, amid positive movements in underlying markets. The Eurekahedge Hedge Fund Index was up 0.63%1 during the month, bringing its year-to-date (YTD) return to a healthy 3.16%. Comparatively the MSCI World Index gained 1.64%2 on the back of increasing prospects of quantitative easing and positive US economic data – with its YTD gain standing at 7.79%.
August 2012 | Eurekahedge
Hedge funds ended their longest losing streak since 2008 with positive returns of 1.10%1 in July as managers captured gains from trends across various asset classes. July saw the first month of positive returns since February and the Eurekahedge Hedge Fund Index remained in positive territory for the year – up 2.57% July year-to-date (YTD). In comparison the MSCI World Index was up 1.05%2in July and 5.47% for the year.
July 2012 | Eurekahedge
Hedge fund returns for June were in the red for the fourth consecutive month making it the longest running losing streak for the industry since 2008. The Eurekahedge Hedge Fund Index was down by 0.14%1 during the month while comparatively the MSCI World Index was up 3.65%2 amid reversal in market trends and a month-end rally.
June 2012 | Eurekahedge
Hedge funds were down in May amid heightened risk aversion and falling global markets. The Eurekahedge Hedge Fund Index lost 1.55% during the month while comparatively the MSCI World Index shed1 9.32% amid broad market declines in all regions.
May 2012 | Eurekahedge
Hedge fund returns were flat to slightly negative in April as most regions and strategies witnessed marginal movements during the month. As managers provided downturn protection amid declining markets globally, the Eurekahedge Hedge Fund Index was down 0.17%1and the MSCI World Index declined 1.62%.
April 2012 | Eurekahedge
Hedge funds delivered a flat-to-marginally negative performance in March as the Eurekahedge Hedge Fund Index dropped 0.18%1 for the month. Global markets witnessed divergent trends as US economic data continued to be positive, although Europe and Asia saw some declines and the MSCI World Index gained 0.39%
March 2012 | Eurekahedge
Hedge funds witnessed another month of strong returns in February as upbeat sentiment dominated global markets. Optimism about the European debt situation and strengthening global economy fuelled rallies in the underlying markets evident in the Eurekahedge Hedge Fund Index and MSCI World Index1 gains of 2.05% 2and 4.55% respectively during the month.
February 2012 | Eurekahedge
Hedge funds posted a remarkable rebound in January as global markets rallied on renewed risk appetite. The Eurekahedge Hedge Fund Index was up 2.10% during the month, making it the best start of the year since 2006. The MSCI World Index gained 4.96% driven by positive data from the US and Europe. The asset-weighted Mizuho-Eurekahedge Index was up 1.58% in January, while the Mizuho-Eurekahedge Emerging Markets Index gained an excellent 5.89% during the month.
January 2012 | Eurekahedge
Hedge funds were down 0.23% in December as global markets continued to be volatile in the last month of 2011. The Eurekahedge Hedge Fund Index finished the year with losses of 4.15%, the second-worst return for the index since its inception in 2000. Hedge funds outperformed the underlying markets by 5.8% during the year however; the MSCI World Index1 was down 0.4% in December and 9.9% for the year.
December 2011 | Eurekahedge
The Eurekahedge Hedge Fund Index was down 0.87%1 in November as hedge funds provided significant downturn protection in a month marked by large declines and trend reversals. The MSCI World Index fell by nearly 10% during the course of the month and closed 3.22% lower at the end. Hedge funds also witnessed another month of net negative asset flows, with investors withdrawing more than US$9 billion in November.
November 2011 | Eurekahedge
Hedge funds were up 2.04% in October as markets reversed sharply from the downtrend seen in the previous two months. Better than expected economic data from the US, as well as moves by European leaders to recapitalise European banks and address the debt crisis, resulted in a surge of optimism among investors. The MSCI World Index gained 8.65% during the month which witnessed rallying markets across the regions. However, the hangover from August and September led to further outflows from the sector.
October 2011 | Eurekahedge
Hedge funds were down 2.69% in September; another month of highly volatile movements and broad declines across global markets. The MSCI World Index lost nearly 10% making September the fifth consecutive month of declines for the index. In this market environment, hedge funds were able to outperform the markets substantially. Even so, downbeat investor sentiment resulted in net negative asset flows.
September 2011 | Eurekahedge
The Eurekahedge Hedge Fund Index fell 2.13% in August amid heightened volatility in global markets and increased risk aversion. Despite the negative returns, managers delivered significant outperformance and downturn protection in a highly volatile environment. The MSCI World Index fell 7.70% as market sentiment turned bearish, marked by global markets changing directions frequently throughout the month. Hedge funds were able to deliver the 5.57% outperformance against the MSCI World Index, as the sector continued to attract assets, albeit marginally.
August 2011 | Eurekahedge
Hedge funds posted another month of outperformance in July with the Eurekahedge Hedge Fund Index gaining 0.44%1 during the month. The industry also continued to attract capital for the eighth consecutive month while managers in all regions outperformed their respective underlying market indices. The MSCI World Index2 declined by 2.59% during the month due to concerns of the global economic recovery, the European debt crisis and the US debt ceiling situation.
July 2011 | Eurekahedge
Global hedge funds were down for the second month running as the Eurekahedge Hedge Fund Index declined 1.22% in June and was flat to slightly positive for the first half of 2011. Comparatively, the MSCI AC World Index was down 1.88% in June and up 1.05% year to date (YTD).
June 2011 | Eurekahedge
Hedge funds were down 1.24% in May, ending a 10 month winning run for the industry. However managers in all regions outperformed their respective underlying market indices, as the MSCI World Index declined by 2.52% during the month. Additionally, the industry continued to attract capital from investors for the sixth consecutive month, despite a spike in risk aversion.
May 2011 | Eurekahedge
Hedge funds continued to attract capital from investors in April with strong performance adding to gains in total assets under management. The Eurekahedge Hedge Fund Index was up 1.58% through April – a month marked with strong returns among underlying hedge fund strategies. The MSCI World Index was up 1.84% during the month.
April 2011 | Eurekahedge
The Eurekahedge Hedge Fund Index was up 0.15%1 in March, with managers also witnessing strong asset flows of US$13.9 billion from investors. It was, however, a turbulent month for the industry, marked with swings in risk appetite and mid-month trend reversals. Managers did well to navigate through the uncertainty and protect capital. Most market indices ended March in the red – the MSCI World Index2 was down 1.53% in the month.
March 2011 | Eurekahedge
The Eurekahedge Hedge Fund Index advanced 1.09% in February, witnessing strong asset flows from investors. Managers capitalised on positive movements in underlying markets as upbeat sentiment pushed most regional indices upwards. The MSCI World Index gained 2.75% in the month.
February 2011 | Eurekahedge
After ending 2010 with excellent results, the hedge fund industry slowed down in January and delivered a flat to slightly positive performance. The Eurekahedge Hedge Fund Index advanced 0.06% in January – a month marked with mixed returns among underlying strategies. The MSCI World Index was up 1.87% during the month.
January 2011 | Eurekahedge
Hedge fund assets under management grew by US$34.1 billion through December as managers ended 2010 on a high note. The Eurekahedge Hedge Fund Index posted a strong return of 3.01% in the month, bringing the yearly return to 10.93%. This marks an outperformance to underlying markets in the yearly return measure as the MSCI World Index delivered a 7.83% return for the year.
December 2010 | Eurekahedge
Hedge funds remain on track to finish the year on a high note as the Eurekahedge Hedge Fund Index gained 0.40% in November, making it the fifth consecutive month of positive returns. The month was marked by volatile market conditions as investor sentiment changed suddenly from the bullish leanings continuing from October to reignited fears of the European debt contagion. The MSCI World Index2 was down 2.35% in November.
November 2010 | Eurekahedge
Hedge funds were up 2.27%1 in October as better-than-expected corporate earnings and anticipation of further quantitative easing resulted in sustained rallies in global equity markets. After witnessing the fourth consecutive month of positive returns, the Eurekahedge Hedge Fund Index now stands at a healthy 7.33% year-to-date October, with the sector poised to finish the year on a high note, as fears of a double-dip recession subside.
November 2010 | Eurekahedge
Founded in 1995, APS provides fund management services specialising in Asia Pacific equity investments. APS is a fully independent firm owned 100% by its employees. Mr Wong Kok Hoi, founder, Chairman and CIO of APS, has more than 29 years of investment experience. APS has three teams of 24 investment professionals based in Singapore, China and Japan, managing three key products, ie, Asia ex-Japan, Greater China and Japan equities.
October 2010 | Eurekahedge
The global hedge fund sector finished 3Q2010 on a high note as the Eurekahedge Hedge Fund Index delivered a strong 3.37% return for September. A surge in risk appetite amid upbeat corporate earnings estimates and a stream of positive economic data led to rallies in the underlying markets. The MSCI World Index advanced 6.74% in the month.
September 2010 | Eurekahedge
The global hedge fund sector remained healthy through August amid an increasing negative sentiment globally and mixed movements across the markets. The Eurekahedge Hedge Fund Index was up 0.46% during the month, bringing the August year-to-date figure to 1.71%; comparatively, the MSCI World Index lost 3.92% with its year-to-date returns at -7.51%.
August 2010 | Eurekahedge
After witnessing two months of declines in May and June, hedge funds reverted to their winning ways in July with a string of strong performances. The Eurekahedge Hedge Fund Index gained a strong 1.46% during the month, bringing the July year-to-date figure to 1.21%; comparatively, the MSCI World Index is down 3.7% July year-to-date.
July 2010 | Eurekahedge
Hedge fund returns were slightly negative in June as world markets continued to slide for the second straight month. The Eurekahedge Hedge Funds Index was down 0.59% in the month that saw high volatility in all asset classes. However, the trend of outperforming the underlying markets persisted as the MSCI World Index declined 3.56% during the month.
June 2010 | Eurekahedge
Hedge funds had a mixed month in May, witnessing widespread losses due to performance while also attracting significant capital. The Eurekahedge Hedge Fund Index was down 2.33% in what was the worst month for the industry since October 2008. The sector, however, outperformed the underlying markets significantly as the MSCI World Index slid 9.91% during the month.
May 2010 | Eurekahedge
Hedge funds continued to attract capital through net positive asset flows in April while also posting excellent performance-based gains. The recent momentum saw industry assets cross the US$1.5 trillion mark, with the sector poised for further growth in the coming months. The Eurekahedge Hedge Fund Index advanced 1.24%1 in April amid volatile market conditions, outperforming the underlying markets as the MSCI World Index declined by 0.16% in the month.
April 2010 | Eurekahedge
Excellent performance-based gains and markedly improved capital inflows in March generated robust growth in the global hedge fund industry, bringing the total assets under management to just under US$1.5 trillion at the end of 1Q2010. The Eurekahedge Hedge Fund Index advanced 2.50% in the month as managers captured most of the upside in the trending underlying markets – the MSCI World Index gained 5.93%.
March 2010 | Eurekahedge
After a month of negative returns and asset flows, hedge funds rebounded in February to bring the assets under management back to US$1.48 trillion. Managers skilfully navigated the mid-month reversals in market themes while underlying markets also ended the month in positive territory – the MSCI World Index was up 1.23% in February.
February 2010 | Eurekahedge
After growing consistently for six months, hedge fund assets under management declined by US$2.85 billion in January 2010 as global markets went through some mid-month volatility. The Eurekahedge Hedge Fund Index was down by 0.86%; however, this can be considered as an outperformance as most market indices registered declines ranging from 3% to 9%. The MSCI World Index was down 4.2% amid concerns over the global economy and health of the financial sector.
January 2010 | Eurekahedge
Hedge fund assets under management grew by US$4.5 billion in December, bringing the 2009 hedge fund industry total assets to $1.48 trillion. The Eurekahedge Hedge Fund Index gained a healthy 1.06% in the month to end 2009 on a positive note, bringing the yearly returns to 19.38% – the best annual gains since 2003. The positive performance during the month was delivered amid increased risk appetite, which pushed global equity markets higher – the MSCI World Index gained 1.69% while the S&P 500 was up by 1.93%.
December 2009 | Eurekahedge
After a small decline in October, hedge funds reverted to their winning ways in November with a string of strong performances. The composite Eurekahedge Hedge Fund Index gained 1.85% during the month, bringing the November YTD figure to 18.34%.
December 2009 | Eurekahedge
Dharmin Mehta discusses the strategies deployed by Capveda Asset Management Limited. The Capveda Emerging India Fund is owned and managed by Capveda Asset Management Limited (CAML). The asset management company and its fund are both domiciled in Mauritius. CAML specialises on the development and implementation of market neutral strategies and fund management. It has recently launched an India-centric market neutral fund for global investors. The fund derives its alpha from market volatility and inefficiencies and not market trends. The fund is based on the algorithmic trading model. “AT” refers to the strategies that give automated trading signals based on the proprietary algorithm/formula built on certain mathematical models.
November 2009 | Eurekahedge
After making strong performance gains for seven consecutive months through the period of March to September 2009, the hedge fund industry took a breather in October with a flat to marginally negative performance. The composite Eurekahedge Hedge Fund Index shed 0.3% through the month, as most asset classes and regional indices registered net declines, with the MSCI World Index losing 1.85%. Sharp reversals in market risk appetite near the month-end negated the gains made during the earlier part of October, which also saw several asset classes hit their one-year highs before declining.
October 2009 | Eurekahedge
September continued the positive trend in the hedge fund sector for the year 2009 as the composite Eurekahedge Hedge Fund Index rose by an impressive 2.6%, ending 3Q2009 with a 6% gain. The performance gains are partly attributable to the continuing surge in the underlying markets globally, with the MSCI World Index gaining 3.9%, while managers also made strong profits in the fixed income and commodities sectors. September was the fifth consecutive month of net increase in assets under management which now stand at US$1.43 trillion, gaining approximately US$34 billion during the month.
September 2009 | Eurekahedge
Hedge funds performance for the year 2009 continued the positive run through August with the composite Eurekahedge Hedge Fund Index gaining 1.3%, while the MSCI World Index rose 3.9% through August amid increasing investor confidence. Hedge funds witnessed their fourth consecutive month of net increase in assets, which climbed more than US$21 billion in August to US$1.38 trillion. Over this four-month period, the hedge fund industry grew by roughly US$100 billion – the largest sustained growth period since end-2007.
August 2009 | Eurekahedge
Hedge funds continued their healthy run in July with the composite Eurekahedge Hedge Fund Index up 2.2% during the month. This was partly attributable to the strong rally across underlying equity markets during the second half of the month; the MSCI World Index rose a healthy 8.7% through July on the back of better than expected Q2 earnings results and macroeconomic data. The hedge fund space also witnessed its third consecutive month of a net increase in assets, which rose nearly US$11 billion in July and currently standing at US$1.35 trillion.
July 2009 | Eurekahedge
After recording its best 3-month period on record, the Eurekahedge Hedge Fund Index finished flat (0.2%) in June, against flat to negative monthly returns across most major equity markets and a 4.4% decline in commodities, as measured by the Continuous Commodity Index. Managers saw net inflows (US$6.2 billion or 0.5%) for the second consecutive month, which coupled with negligible net losses of US$350 million (0.03%) from performance brought the industry’s assets to US$1.33 trillion as at the end of 1H2009.
June 2009 | Eurekahedge
May was a remarkable month for hedge funds, as the Eurekahedge Hedge Fund Index recorded its best monthly return in almost a decade (up 5.3%). The industry also witnessed net inflows (US$11.3 billion or 0.9%) for the very first time in ten months, and the appreciation in assets due to performance in May (US$19 billion or 1.5%) was the largest in the last 12 months. The month’s gains were realised on the back of a third consecutive month of rallying equity markets, with the MSCI World Index up 8.6% for the month amid continued buying and strengthening investor risk appetites. For 2009 YTD, the composite Eurekahedge Hedge Fund Index is up an impressive 9.5%, while the aforementioned equity index and the S&P 500 are up just 5.4% and 1.8% respectively.
May 2009 | Eurekahedge
After a healthy first quarter of strong outperformance to the underlying markets, the Eurekahedge Hedge Fund Index returned 3% in April, due to continued surge in equities and risk appetites. Better than expected first quarter earnings reports, continued efforts by governments and central banks to boost economic growth, and relatively attractive valuations were the factors that fuelled the market rally through April; the MSCI World Index returned 10.9%. However, on a year-to-date (YTD) basis, hedge funds are up 3.9% on average, while the broader equity markets remain in the red.
April 2009 | Eurekahedge
After notable outperformance to most asset classes in recent months, the Eurekahedge Hedge Fund Index rose a healthy 1.5% in March. The month’s return was generated on the back of sharp reversals in the underlying market, triggered by renewed risk appetites; equities and commodities rose 7.2% and 4.4% during the month.
March 2009 | Eurekahedge
In another month of strong relative outperformance to the underlying markets, the composite Eurekahedge Hedge Fund Index lost 0.8% in February against a 10.5% drop in the MSCI World Index and a 4% fall in the Reuters CRB Index. In terms of assets, hedge fund losses eroded 0.3% (US$4.5 billion), while redemptions for the month stood at US$20.3 billion.
February 2009 | Eurekahedge
January was a positive month for hedge funds, as managers outperformed the underlying equity markets and most strategies finished the month in the black; the Eurekahedge Hedge Fund Index returned 0.2%. This translated into US$2 billion net performance-based increase in assets during the month, which was, however, negated by net redemptions of US$71 billion through January.
January 2009 | Eurekahedge
2008 has been an arguably rough year for hedge funds. Over 20%, or US$384 billion, has been shaved off the total value of hedge fund allocations globally, and industry assets have dipped below their December 2006 levels (US$1.54 trillion) for the first time in December 2008 (to US$1.5 trillion). Investment losses accounted for US$185 billion of the decline, while net asset outflows from fund liquidations and investor redemptions made up for the balance of US$198 billion.
December 2008 | Eurekahedge
Hedge funds continued to take losses for the sixth straight month in November, as major economies in Europe and Asia announced recessions, and trading was characterised by distressed selling, deleveraging and an increasing disconnect between asset prices and underlying fundamentals. The composite Eurekahedge Hedge Fund Index is down 0.8% for the month to date, but we expect final numbers to be closer to -2%. On the upside, month-to-month losses have been the least negative in the last five months, while net redemptions are also down from previous monthly highs. Figure 1 illustrates the monthly performance-based changes, asset flows and AuM for 2008 YTD.
November 2008 | Eurekahedge
October was another harsh month for key asset classes, as global equities (MSCI World Index) and commodities (Reuters CRB Index) lost 19.1% and 18.3% respectively, amid record volatility during the month. Hedge funds, however, outperformed significantly, with the composite Eurekahedge Hedge Fund Index down only 3.9% on the month. Losses in dollar terms were even lower at just 2.7% or US$47.2 billion for October, suggesting that larger-sized funds outperformed their smaller-sized counterparts.
October 2008 | Eurekahedge
September was a historic month that saw wide swings in the underlying markets (both the MSCI World Index and the Reuters CRB Index shed over 12% for the month) and several centuries-old financial institutions being bailed out, bought over or filed for bankruptcy. Against this backdrop, the Eurekahedge Hedge Fund Index recorded its worst monthly loss, shedding 4.6%1 on the month, while the industry also witnessed some redemption during the month. On the whole, hedge fund assets shrank US$88 billion, reducing the industry’s size to US$1.79 trillion.
September 2008 | Eurekahedge
August was another volatile month in the underlying equity and commodity markets, with the MSCI World Index and the Reuters CRB Index down 1.6% and 5.6% respectively. Against this backdrop, the Eurekahedge Hedge Fund Index shed 1.2% in course of the month, with assets within the industry recording a similar decline (in percentage terms). The AuM of the hedge fund industry as at the end of August 2008 was US$1.9 trillion, with both negative performance and redemptions responsible for the decline.
August 2008 | Eurekahedge
Hedge funds saw net inflows of US$5.8 billion in July, which were more than offset by negative returns across the industry. The Eurekahedge Hedge Fund Index shed 2.2% on the month, against a backdrop of persistent volatility in the underlying markets. The month saw marked reversals across some key asset classes – commodity prices fell significantly (the Dow Jones-AIG Commodity Index lost 12%, on the month) primarily on concerns of falling demand, while equities rebounded from their intra-month lows (of -5.6% for the MSCI World Index) to close the month down 2.5%.
August 2008 | Eurekahedge
Hedge fund managers saw net inflows of US$66 billion, during the first half of 2008, bringing their assets under management (AuM) to a solid US$1.95 trillion as at June 2008. These inflows were evident despite harsh movements in the underlying markets, as commodity prices soared (the Reuters CRB Index rose 25%) and equities fell dramatically (the MSCI World Index shed 11.8%) during the period. Furthermore, the slowing of economic growth coupled with rising inflationary concerns negatively impacted investor sentiment, thereby taking a toil on underlying markets. Managers, however, did a good job of protecting capital during the period, as the Eurekahedge Hedge Fund Index remained flat (0.1%).
July 2008 | Eurekahedge
Hedge funds had a flat to negative month this June, being negatively impacted by wide swings – such as notable declines in equities and a sharp surge in commodity prices – in the underlying markets; the Eurekahedge Hedge Fund Index shed 0.5% on the month. In terms of assets, the industry lost US$2.3 billion owing to negative performance, but saw an increase of a healthy US$6 billion from fresh inflows. The net US$3.7 billion increase in assets brings the AuM for the entire hedge fund industry to US$1.7 trillion as at the end of June.
June 2008 | Eurekahedge
May marked another month of positive performance-based asset growth and minimal redemptions among hedge funds, as the composite Eurekahedge Hedge Fund Index rose 2% on the month. This brings the net increase in total hedge fund assets (estimated at US$1.66 trillion as at end May 2008) to US$4 billion for May and US$12.8 billion for 2008, year-to-date. The month’s performance was relatively optimistic in spite of persistent inflation concerns weighing on the markets and investor sentiment.
May 2008 | Eurekahedge Research
April marked a positive start to the second quarter of 2008, as the Eurekahedge Hedge Fund Index rose 1.5%1 on the month. The month saw a marginal increase in the overall assets of the hedge fund industry, as performance-based flows surged up to US$4 billion, but were partly offset by investor redemptions of about US$1.7 billion during the month, owing to net increase in hedge fund assets as at end-April (as suggested by the funds that have reported to date), standing at US$1,650 billion.
April 2008 | Eurekahedge Research
March was a difficult month for hedge funds across the board, with performance-based declines in assets among most strategies and redemptions in some; the composite Eurekahedge Hedge Fund Index shed 1.9%1.
March 2008 | Eurekahedge
As hedge funds bounced back in February across the board, with most strategies recovering most or all of January’s lost ground (the composite Eurekahedge Hedge Fund Index advanced an impressive 2.9%), data of February 2008 assets under management (AuM) from early reporting funds to the Eurekahedge databases suggests that hedge funds globally raised their total assets to the tune of US$5 billion in performance-based growth, and another US$1.5 billion in net investor inflows. This translates to an estimated 0.4% rise in global hedge fund assets, to US$1.64 trillion . Asset flows during the past two months are summarised in Figure 1 below.
February 2008 | Eurekahedge
This inaugural edition of the Eurekahedge asset flow report collates historical assets under management (AuM) information on a sample of close to 6,400 hedge funds and 2,700 funds of hedge funds listed in the Eurekahedge Alternative Investment databases, in an effort to estimate the size and nature of asset flows in the global hedge fund industry.