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

spot_img

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

 

close

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.

Most Popular Today

Most Popular This Week

- Advertisement - spot_img

Latest Articles

Three Nordic Winners at HFM Awards

Stockholm (HedgeNordic) – Three Nordic asset managers, Oslo Asset Management, Lynx Asset Management, and Storm Capital Management, were awarded during the HFM European Performance...

CEO Succession at Rhenman & Partners

Stockholm (HedgeNordic) – Rhenman & Partners Asset Management has appointed Teresa Isele as its new CEO to replace co-founder and current CEO Göran Nordström,...

Optimizing for Performance

Stockholm (HedgeNordic) – After almost 20 years of equity market experience from three of the largest banks in the Nordics, Pontus Dackmo launched earlier...

Danske Lost the Eliksir

Stockholm (HedgeNordic) – Danske Bank’s Finnish fund management arm announced the decision to terminate three alternative investment funds, including the Eliksir fund of hedge...

Global Assets Dynamic Set in Motion

Stockholm (HedgeNordic) – Norwegian boutique investment firm Global Assets has launched Global Assets Dynamic, a quantitatively-managed equity fund that mitigates portfolio downside risk using...

Team Ress Grows with Junior PM

Stockholm (HedgeNordic) – The Stockholm-based portfolio management team picking and buying U.S. life insurance policies for Ress Capital’s alternative investment fund, Ress Life Investments,...