- Advertisement -

Related

Equity Hedge Funds Get Hammered in December, Industry Suffers Worst Year Since 2011

- Advertisement -

Stockholm (Hedgenordic) – Long/short quity hedge funds had its worst month since August 2011 in December according to data from Hedge Fund Research. The month-to-date loss for the HFRX Equity Hedge Index was 4,6 percent bringing year-to-date returns to -9.7 percent. For the overall hedge fund industry, 2018 was almost equally bad with the HFRX Global Hedge Fund Index ending the year with a loss of 7 percent, after suffering a 2.2 percent drop in December. That is the worst yearly performance since 2011 when the index lost 8,9 percent.

Monthly performance of long/short equity hedge funds according to Hedge Fund Research. December loss worst since August 2011. Chart compiled by Deutsche Bank and derived from www.zerohedge.com.

Among the most widely known hedge funds globally, not many managed to provide equity market protection during the month and high-profiled names such as Greenlight Capital, Cantab and Transtrend (through the Tulip trend fund which is a leveraged version of Transtrend´s flagship program) suffered heavy losses on the year, according to data from HSBC.

The top and bottom performing hedge funds in 2018 according to HSBC. Table derived from www.zerohedge.com.

With regards to Nordic hedge funds, data is yet to be retrieved for the underlying funds constituting the Nordic Hedge Fund Index, however, already in November the index was on track for its worst performance since 2011 with a year-to-date loss of approximately 2 percent. This was on the back of the index suffering its worst monthly loss in ten years in October (see separate story here). Judging from the intra-month numbers presented in December, the month provided no relief for Nordic hedge fund managers.

We will return with a complete 2018 review for the NHX index as soon at it has been updated.

Photo by Zachary Young on Unsplash

 

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

Our newsletter is sent once a week, every Friday.

HedgeNordic Editorial Team
HedgeNordic Editorial Team
This article was written, or published, by the HedgeNordic editorial team.

Latest Articles

Maybe CTA Alpha is Simpler Than You Think: Evidence from the ETF Space

By Andrew Beer, Co-Founder of DBi: Managers of CTA hedge funds and mutual funds often argue that complexity leads to higher alpha generation. After all, why...

Lynx Marches Through March Mayhem

March was defined by a sharp escalation in geopolitical tensions, particularly involving the U.S., Israel, and Iran, creating a highly challenging environment for most investment...

Mixed March for Managed Futures

A sharp escalation in geopolitical tensions set the tone for March, as the US and Israel’s attacks on Iran triggered significant cross-asset volatility. In...

Stop Making Room for Managed Futures

By Corey Hoffstein, Co-Founder, CEO and CIO at Newfound Research: The case for managed futures as a portfolio diversifier is well established. During the...

Othania Positions Trend-Following at the Core of Multi-Asset Portfolios

Not many investors in the Nordics explicitly allocate to trend-following strategies, yet those who do often regard them as an essential building block in...

Muddling Through the Mess: Managed Futures ETFs

By Alexander Mende and Per Ivarsson at RPM Risk & Portfolio Management: Traditionally, Managed Futures (MF) strategies have been limited to hedge funds known...

Allocator Interviews

In-Depth: Diversification

- Advertisement -

Voices

Request for Proposal

- Advertisement -