- Advertisement -
- Advertisement -

Related

QQM in Top 10 Market Neutral Funds

Latest Report

- Advertisement -

Stockholm (HedgeNordic) – Stockholm-based QQM Equity Hedge features in BarclayHedge’s list of top ten best-performing equity market-neutral funds over the past five-year period. The market-neutral fund managed by Ola Björkmo and Jonas Sandefeldt generated a cumulative return of 41.2 percent since the beginning of 2013 through the end of 2017, equating to a compounded annual return of 7.2 percent. A decent performance for a fund with no market exposure.

“We are of course pleased to receive this recognition as it demonstrates both the consistency of our fund’s performance throughout various market cycles and the value we can provide investors who are seeking uncorrelated returns,” Ola and Jonas told HedgeNordic.

This NHX constituent fared significantly better than many of its global peers in the past five years. According to research and database provider BarclayHedge, global equity market-neutral funds generated cumulative returns of 23.8 percent on average over the same time span. This figure corresponds to a compounded annual performance of 4.4 percent.

QQM Equity Hedge employs proprietary quantitative models to capture the effects of earnings momentum and earnings surprises in several European equity markets. The combination of long and short positions enables the fund to generate returns that have limited correlation with equity markets. As a case in point, HedgeNordic data show that QQM Equity Hedge’s correlation with the S&P 500 Index since the fund’s inception in early 2008 stands at only 0.09.

Speaking of limited correlation with equity markets, Ola and Jonas told HedgeNordic that “the popularity of systematic managers is growing and we have seen increased interest from allocators in uncorrelated strategies such as market-neutral funds.”

“Instead of focusing on individual stocks and themes, our strategies are purely systematic,” QQM Equity Hedge’s fund managers said about their strategy. “We rely on proprietary models and data analysis to identify investment opportunities across 1000 European stocks in 10 markets. The systematic nature of our process is repeatable, providing the diversification required to avoid concentration risk,” they added.

On a final note, the fund managers quoted Albert Einstein as saying: “Computers are incredibly fast, accurate and stupid; humans are incredibly slow, inaccurate and brilliant; together they are powerful beyond imagination.”

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

Our newsletter is sent once a week, every Friday.

Eugeniu Guzun
Eugeniu Guzun
Eugeniu Guzun serves as a data analyst responsible for maintaining and gatekeeping the Nordic Hedge Index, and as a journalist covering the Nordic hedge fund industry for HedgeNordic. Eugeniu completed his Master’s degree at the Stockholm School of Economics in 2018. Write to Eugeniu Guzun at eugene@hedgenordic.com

Latest Articles

Zetterquist Leads Antiloop’s Reset as Cygnus and Atlas Gain Momentum

After helping build and later steer the operations of fund boutique Norron, first as COO and then as CEO, Alexander Zetterquist is embarking on...

From Running Laps to Running Capital: Ex-Taiga Analyst at DNB

After nine years as an analyst at equity long/short hedge fund Taiga Fund, Øystein Kvaerner has joined DNB Asset Management to launch a new...

Nordic Hedge Funds Wrap Up Strong Third Quarter

Nordic hedge funds continued their strong run of performance since May, advancing an additional 1.7 percent on average in September – the industry’s second-best...

DNB’s Stable Alpha Goes DACH

DNB Asset Management has managed its in-house multi-manager, multi-strategy fund platform since early 2020. After a period of muted performance in its early years,...

Opportunities Lie Beneath Aggregate Credit Spreads

Credit spreads across the United States and Europe have tightened to historically low levels, leaving limited reward for simply holding long credit positions. This...

European Alternative Investments Conference 2025

More than 200 practitioners, academics and thought leaders met in Copenhagen for the second European Alternative Investments Conference, hosted by Finansforeningen, CFA Society Denmark...

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.