- Advertisement -
- Advertisement -

Related

Hedge funds gain in February fuelled by CTAs and Event Driven

Latest Report

- Advertisement -

Stockholm (HedgeNordic) – Hedge funds had a positive month in February. According to French asset manager Lyxor, the industry (as measured by the Lyxor Hedge Fund Index) gained 1 percent on the month with 8 out of 10 sub-indices showing positive contributions.

CTA strategies was the single strongest outperformer thanks to substantial long positions in equity markets. These positions were largely supported by a general upbeat sentiment on the back of Trump´s plans to unveil his “phenomenal” tax policy and comforted by positive economic and inflation prints across main regions.

“CTAs delivered upbeat returns lately, fuelled by the rally in equities and commodities. Yet, the strategy is increasingly vulnerable to trend reversals as stock prices are unlikely to continue to rise at the current pace in the near term. In parallel, Event-Driven strategies, which outperformed year to date, appear to have the potential to pursue their upward trend on the back of a strong pace of M&A activity and corporate restructuring in the U.S”, Philippe Ferreira, Senior-Cross Strategist at Lyxor Management writes in a note.

Event Driven strategies were also on the rise as M&A activity in the US remained robust. Overall, tax reform in the US should translate into higher corporate activity, a tailwind for the Event-Driven strategy, Lyxor writes.

Among strategies that underperformed during the month was fixed income as the Lyxor Fixed Income arbitrage index posted a loss of 1,3 percent.

So far in 2017, Special Situations is the strongest performing strategy, followed by Equity Long/Short (market neutral and variable bias) and CTAs, according to Lyxor´s hedge fund indices.

 

Picture: (c) TischenkoIrina – shutterstock

Subscribe to HedgeBrev, HedgeNordic’s weekly newsletter, and never miss the latest news!

Our newsletter is sent once a week, every Friday.

Jonathan Furelid
Jonathan Furelid
Jonathan Furelid is editor and hedge fund analyst at HedgeNordic. Having a background allocating institutional portfolios of systematic strategies at CTA-specialist RPM Risk & Portfolio Management, Mr. Furelid’s focus areas include sytematic macro and CTAs. Jonathan can be reached at: jonathan@hedgenordic.com

Latest Articles

Othania’s All-In-One Fund Celebrates Five Years

Danish fund boutique Othania is celebrating the five-year anniversary of Othania Balanceret Makro, its all-in-one fund blending equity, bond, and alternatives exposure through Exchange...

Atlant Fonder Crosses SEK 10 Billion Milestone

Strong performance and steady inflows have propelled alternative fund boutique Atlant Fonder past the SEK 10 billion milestone in assets under management. Its flagship...

Nordea PM Joins Lancelot Global as Co-Manager

Lancelot Global, a long-only equity fund with flexible net exposure ranging from 60 to 120 percent, has strengthened its portfolio management team with the...

Quirky Questions – or, A Peoples Business

If asset management were only about numbers, we could all go home and let the calculators get on with it. But calculators are dull...

Navigating CLOs Through ETFs: Opportunities in AAA-Rated Tranches

By UBS Asset Management: Collateralized Loan Obligations (CLOs) have long been a cornerstone of the U.S. securitized products market, evolving from a niche institutional investment...

From Core to Alternatives: The ETF-Driven Approach of a Finnish Wealth Manager

Wealth managers are tasked with designing investment portfolios that align with clients’ needs, objectives, risk tolerance, preferences, and financial circumstances. While high-net-worth clients often...

Allocator Interviews

In-Depth: High Yield

Voices

Request for Proposal

- Advertisement -
HedgeNordic
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.