- Advertisement -
- Advertisement -

Related

Month in Review – October 2018

Latest Report

- Advertisement -

Stockholm (HedgeNordic) – October was a challenging month for investors and fund managers alike, and hedge funds were no exception. Nordic hedge funds, as expressed by the Nordic Hedge Index (NHX), were down 2.1 percent in October (86 percent reported), recording their worst month in the aftermath of the financial crisis. The weakness was led by equity hedge funds and CTA vehicles, with both groups impacted by plummeting global equity markets.

Month in Review – October 2018

All five strategy categories within the NHX ended the month of October in the red, with fixed-income hedge funds experiencing the least amount of suffering. Equity-focused hedge funds and trend-following CTAs were down 2.6 percent and 2.5 percent, respectively, with both categories struggling as global equity markets fell 5.1 percent in Euro terms. Down 5.2 percent year-to-date, Nordic CTA funds are on track to record their worst annual performance since HedgeNordic started tracking the space in 2005. Multi-strategy funds and funds of hedge funds retreated 2.1 and 1.6 percent, correspondingly. Fixed-income hedge funds, meanwhile, were down 0.3 percent last month, bringing the year-to-date gains to 1.5 percent. NHX Fixed Income is the best performing NHX sub-category so far this year.

Dispersion between the best and worst performing members of the NHX was wide last month, with the top 20 percent of hedge funds returning 1.2 percent on average and the bottom 20 percent falling 7.0 percent. Around one-quarter of the 176 hedge funds included in the NHX posted gains for October. Volt Diversified Alpha Fund, which applies machine learning to capture price moves motivated by changes in underlying economic factors, was last month’s best performing hedge fund in the Nordics with a gain of 4.6 percent. Whereas the quick reversal in global equity markets impacted many trend-followers, Volt started the month with a small short position in U.S. equities that partly contributed to last month’s gains.

Atlant Protect, a hedge fund vehicle that seeks to protect against market crashes with the use of derivative strategies, was up 3.1 percent last month. DNB TMT Absolute Return, a long/short market-neutral equity fund, and Formue Nord Markedsneutral, which employs a beta-neutral long/short strategy, advanced 3.0 percent and 2.7 percent, respectively.

 

Picture © Rawpixel—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

Mapping the Finnish Hedge Fund Landscape

Beyond operating as a media platform, HedgeNordic maintains an extensive database of Nordic hedge funds and related data. Although the data is not without...

Quirky Questions for Serge Houles (Tidan Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

Quirky Questions for Mette Østerbye Vejen (Caba Capital)

Not every conversation in the hedge fund world needs to revolve around alpha, Sharpe ratios, or fund flows. In the ongoing Quirky Questions series,...

Solid First-Half Finish for Nordic Hedge Funds

Nordic hedge funds wrapped up the first half of the year on a solid note, delivering an average gain of 1.4 percent in June....

Brevan Howard Winds Down Volatility Fund Managed by Ville Helske

Brevan Howard Asset Management is winding down a volatility-focused hedge fund run by high-profile Finnish portfolio manager Ville Helske. Helske, formerly Head of Allocation...

Ymer to Launch Fourth CLO Fund with Proven Strategy and Structure

Building on the track record of three previous credit funds, Swedish alternative credit specialist Ymer SC AB is preparing to roll out its fourth...

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.