Hedge funds record biggest loss since GFC
The Credit Suisse/Tremont Hedge Fund Index has recorded its largest drop since November 2008, losing 2.76 per cent in May — although it still comfortably outperformed other equity markets.
Nine out of 10 sectors within the index posted negative performances for the month, with only dedicated short bias performing positively, gaining 5.84 per cent in May as managers benefited from negative equity market performance and overall higher volatility, according to president of Credit Suisse Index Oliver Schupp.
“Although the industry was negatively impacted by the market sell-offs, hedge funds outperformed equity market indices such as the S&P 500 and MSCI World which fell 7.99% and 9.77% respectively in May,” he said.
Global Macro and Fixed Income Arbitrage managers were largely able to limit their losses, finishing the month down 0.63% and 0.79% respectively.
Recommended for you
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver discuss the latest shock consumer price index numbers, which rose to 3.8 per cent in October, as well as the shifting US market and calls for super funds to invest in infrastructure projects.
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver discuss the Reserve Bank of Australia’s cautious stance in response to persistent inflation, subdued growth prospects, and political shifts affecting the nation’s journey towards net zero emissions.
In this episode of Relative Return, host Laura Dew speaks with Rachel White, head of financial adviser services at Vanguard about how advisers can help Australians to feel confident in retirement.
In this episode of Relative Return Insider, host Keith Ford and AMP deputy chief economist Diana Mousina take a look at the Reserve Bank’s unanimous decision to leave rates on hold on Melbourne Cup Day and whether future cuts are still on the cards.
