- Advertisement -

Related

Nordic CTAs Stumble Again in Risk-Off Environment

- Advertisement -

Stockholm (HedgeNordic) – Following a three-month run of positive performance, Nordic CTAs fell 0.8 percent on average in May (94 percent reported). The aggregate performance of Nordic CTAs remains in positive territory for the year at 0.5 percent.

Speedometer: The May performance of the NHX CTA Index relative to its best and worst monthly performance since 2010. Source: HedgeNordic.

The NHX CTA, which currently comprises 18 constituents, outperformed the world’s largest CTAs last month but trailed the broader CTA industry both in May and year-to-date. The SG CTA Index, which tracks a pool of CTAs selected from the larger managers that are open to new investment, declined 2.4 percent last month. The SG CTA Index, which includes three members of the Nordic Hedge Index, gained 2.2 percent in the first five months of 2019. The Barclay BTOP50 Index, which also tracks a select group of large investable CTAs, was down 1.7 percent last month, cutting the year-to-date performance to 3.2 percent. The broader Barclay CTA Index, which includes over 500 CTAs, was down 0.3 percent last month and gained 2.2 percent year-to-date through the end of May.

Five of the 18 members of the NHX CTA posted positive return for May. Estlander & Partners Alpha Trend II, a higher leverage version of systematic medium-term trend-following fund Estlander & Partners Alpha Trend, was last month’s best performing member of both the Nordic Hedge Index and the NHX CTA with a monthly gain of 12.6 percent. The double-digit increase brought the fund’s performance for the year back into positive territory at 0.3 percent.

Estlander & Partners Alpha Trend followed suit with a gain of 4.0 percent, which took the fund’s year-to-date return to 0.8 percent. RPM Evolving CTA Fund, a diversified multi-CTA fund, gained 3.0 percent in May as “smaller diversifying strategies managed to navigate the crisis-ridden market environment much better” than larger trend-following managers. Trend-follower Nordea 1 – Heracles Long/Short MI Fund, set to merge with another Nordea fund this month, and SEB Asset Selection were up 2.2 percent and 0.5 percent, correspondingly.

 

Photo by Nathan Dumlao on Unsplash

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

The Investment Case for European Infrastructure Debt

Europe’s infrastructure needs are expanding as governments and businesses seek greater energy security, lower emissions and more resilient digital and electricity networks. For debt...

Bliwa Balances Fixed Income Stability with Selective Risk-Taking

For insurers, fixed income must do more than generate returns. It needs to provide stability, preserve liquidity, and help match investments to liabilities. At...

Beyond the Yield Premium: Finding Value in Nordic High Yield

The Nordic high-yield market combines shorter maturities, a high share of floating-rate bonds, stronger creditor protections in many transactions and a persistent yield premium...

An Invitation-Only Market: Evli’s Approach to Nordic Mid-Market Loans

The Nordic credit markets offer investors a distinctive combination of attractive yields, floating-rate instruments and access to high-quality mid-market companies. The region’s established private...

P+ Looks Beyond Direct Lending to NAV and GP Financing

Private credit has expanded well beyond traditional direct lending, with institutional investors increasingly exploring specialized financing strategies for diversification and additional sources of return....

Securitized Credit, CLOs and Capital Call Financing Offer New Routes to Fixed Income Diversification

Institutional investors seeking to diversify their fixed income portfolios beyond government bonds and investment-grade credit may find opportunities in securitized credit and capital call...

Allocator Interviews

Voices

Request for Proposal

- Advertisement -