9 Apr 2010
After a slow start to the year, hedge funds showed their strength in March, witnessing robust positive results across all regions and strategies. The composite Eurekahedge Hedge Fund Index advanced 2.54% amid significant movements in most underlying asset classes, bringing the YTD figure to 2.16%. The MSCI World Index increased 5.93% in March and was up 2.74% YTD.
Asia ex-Japan managers also enjoyed healthy returns in March, with the Eurekahedge Asia ex-Japan Index posting 3.92%. Most of the gains were delivered on the back of strong rallies in the underlying equity markets, which were buoyed by positive economic data and upbeat sentiment – the MSCI Asia ex-Japan Index was up 7.15% in the month.
All strategic indices were positive for March, with riskier assets delivering the best returns. Net long exposures to equity markets were profitable, with the S&P 500 returning 5.9% while the FTSE and DAX were up 6.1% and 93.9%, respectively. The Eurekahedge Long/Short Equities Hedge Fund Index gained 3.04% in the month.
Distressed debt managers were the best performers in March as they continued their winning streak to 12 straight months by gaining 49.08% on average over this time period. The Eurekahedge Distressed Debt Hedge Fund Index was up 4.27% in March, bringing the YTD figure to 7.35%. Managers employing this strategy have delivered exceptional performance recently, profiting from the continuing rally in the sector – the Merrill Lynch High Yield Index was up 4.99% YTD.
- Initial reports indicate positive net asset flows for March2 and and US$16 billion net inflows for February.
- Distressed debt hedge funds climbed 7.35% YTD with 12 months of consecutive positive returns, gaining 49.08% over this period.
- All regional and strategic indices reported positive returns both for March and for the year.
Asia ex-Japan managers also enjoyed healthy returns in March, with the Eurekahedge Asia ex-Japan Index posting 3.92%. Most of the gains were delivered on the back of strong rallies in the underlying equity markets, which were buoyed by positive economic data and upbeat sentiment – the MSCI Asia ex-Japan Index was up 7.15% in the month.
All strategic indices were positive for March, with riskier assets delivering the best returns. Net long exposures to equity markets were profitable, with the S&P 500 returning 5.9% while the FTSE and DAX were up 6.1% and 93.9%, respectively. The Eurekahedge Long/Short Equities Hedge Fund Index gained 3.04% in the month.
Distressed debt managers were the best performers in March as they continued their winning streak to 12 straight months by gaining 49.08% on average over this time period. The Eurekahedge Distressed Debt Hedge Fund Index was up 4.27% in March, bringing the YTD figure to 7.35%. Managers employing this strategy have delivered exceptional performance recently, profiting from the continuing rally in the sector – the Merrill Lynch High Yield Index was up 4.99% YTD.
