- Advertisement -

Related

Nordic Fixed-Income Hedge Funds Beat Global Peers in May

- Advertisement -

Stockholm (HedgeNordic) – The average net-of-fees return for Nordic fixed-income hedge funds for May measured 0.2 percent (92 percent reported). The NHX Fixed Income Index, up 0.7 percent in the first five months of 2018, posted gains in 23 out of the past 24 months.

Speedometer: The May performance of the NHX Fixed Income Index relative to its best and worst monthly performance since 2005. Source: HedgeNordic.

Whereas Nordic fixed-income hedge funds continued their winning streak last month, their international counterparts posted losses as a group. The Eurekahedge Fixed Income Hedge Fund Index, an equally-weighted index composed of 343 fixed-income hedge funds, fell 0.4 percent in May (78 percent reported), cutting year-to-date gains to 0.4 percent. The HFN Fixed Income Index (non-arbitrage), however, was flat last month, maintaining the gains for the year at 1.0 percent.

Approximately half of 26 members of the NHX Fixed Income Index posted positive returns for May, with Formuepleje Fokus clinching the title of the strongest performer in the fixed-income group within the Nordic Hedge Index. The fund that predominantly invests in Danish mortgage bonds returned 1.0 percent last month, taking the performance for 2018 into positive territory at 0.6 percent.

Borea European Credit gained 0.9 percent in May, delivering gains for the 27th consecutive month. The fixed-income hedge fund managed by Borea Asset Management is up 3.3 percent year-to-date, after having gained 15.7 percent in 2017 and 10.9 percent in the prior year. KLP Alfa Global Rente also climbed 0.8 percent last month, which brought the year-to-date performance to 2.4 percent. Scandinavian Credit Fund I, Nykredit MIRA, and SEB Eureka Fixed Income Relative Value returned 0.6 percent in May.

Nykredit EVIRA, a hedge fund investing in European corporate bonds, suffered the worst monthly performance since its inception in September 2017, recording a monthly loss of 5.2 percent. Nykredit EVIRA is down 7.3 percent in the first five months of the year. Midgard Fixed Income Fund, a Europe-focused hedge fund investing in a range of fixed-income securities issued in EU countries, Switzerland and Norway, retreated 2.1 percent last month, cutting year-to-date gains to 0.8 percent. Global macro fixed-income fund Nordkinn Fixed Income Macro Fund was down 0.9 percent in May, taking the 2018 performance into negative territory at down 0.1 percent.

*Performance figures for May not reported.

Picture © isak55_shutterstock

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

AP3’s Jonas Thulin: “The 60/40 Portfolio Has Run Its Course”

The 60/40 portfolio was built on a simple premise: equities drive long-term returns while bonds provide stability and diversification. But that relationship is no...

The 60/40 Isn’t Dead. But the 40 Is Changing

For decades, the 60/40 portfolio has served as one of the defining frameworks for portfolio construction. While few institutional investors adhere strictly to that...

Finland’s Distressed Real Estate Market Creates Opportunities for Buyers

Finland’s commercial real-estate market is going through one of its most difficult periods in decades. Much of the coverage has focused on the pain:...

Protean Officially Launches Global Aktiesparfond

Stock-picking boutique Protean Funds Scandinavia has officially launched its low-cost active Global fund on September 15, building on the early success of its Nordic...

Why the Next Wave of ETF Growth Could Be Active

Active management is increasingly finding a home in the ETF wrapper as investors look beyond traditional index-tracking strategies for more targeted sources of alpha....

How CLO ETFs Are Expanding Institutional Access to Alternative Credit

ETFs have become an increasingly versatile tool in institutional portfolios, moving beyond tactical market access and liquidity management to serve as strategic building blocks....

Allocator Interviews

In-Depth: Diversification

- Advertisement -

Voices

Request for Proposal

- Advertisement -