- Advertisement -
- Advertisement -

Related

Widening Spreads Hurt Nordic Fixed-Income HFs

Powering Hedge Funds

Stockholm (HedgeNordic) – In November, Nordic fixed-income hedge funds recorded their worst monthly fall in the past three years, as credit spreads widened and liquidity in bond markets dried up. The NHX Fixed Income was down 1.0 percent last month (93 percent reported), cutting the category’s year-to-date gains to 0.2 percent.

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

Nordic fixed-income hedge fund slightly underperformed their global counterparts in November, but both groups have been performing in unison in recent months. The Eurokahedge Fixed Income Hedge Fund Index, which tracks the performance of 337 global fixed-income hedge funds, fell 0.6 percent in November, taking the year-to-date performance through November to 0.4 percent. The HFN Fixed Income Index (non-arbitrage), an index that reflects the performance of fixed-income vehicles in eVestment’s database of hedge funds, was down 0.7 percent last month. The HFN index gained 0.6 percent this year through November. Credit spreads on both global high-yield bonds and investment-grade bonds increased during November after a similar increase in October, which led to a deteriorating in bond prices that hurt both Nordic and global fixed-income hedge funds.

Most funds included in the NHX Fixed Income reported losses for November, as only three vehicles posted gains for the month. Direct lending fund Scandinavian Credit Fund I gained 0.5 percent in November, which brought the fund’s year-to-date gains to 6.8 percent. The alternative investment fund providing direct loans to small- and medium-sized companies is the best-performing member of the NHX Fixed Income this year.

Formuepleje Fokus and HP Hedge, two vehicles investing in Danish mortgage bonds, were up 0.3 percent in November. Formuepleje Fokus is up 1.7 percent year-to-date and HP Hedge gained 5.0 percent this year. Nykredit EVIRA Hedge Fund, which maintains a concentrated portfolio of lower-rated European corporate bonds of strong companies with improving credit quality, incurred a loss of 7.3 percent last month. The fund fell 15.4 percent year-to-date through November.

 

Picture © alexskopje—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

January’s Volatile Path to Strong CTA Returns

In January, the NHX CTA Index generated strong performance, mainly due to profits in precious metals, despite a major market reversal at month-end. Performance...

Lynx Catches Trends Across All Asset Classes in January

January proved to be one of the strongest months in years for trend-following CTAs, a favorable backdrop that also benefited Lynx Asset Management’s trend-following...

Coda Posts Strong January Despite Violent Precious-Metals Sell-Off

Last year’s second-best performing Nordic hedge fund, Coda Global Opportunities, began 2026 with a strong 10.4 percent return in January, despite suffering a sharp...

Short Alpha Drives Brummer Multi-Strategy’s 2025 Performance

Brummer Multi-Strategy delivered a solid performance in 2025, supported by a sustained run of positive monthly returns from the beginning of the summer that...

Protean Select Named Årets Hedgefond

Stockholm-based fund boutique Protean Funds Scandinavia has been recognized at Privata Affärer’s “Årets Fond” awards for the second consecutive year. This time, the boutique’s...

Ten Years On, Atlant Opportunity Builds Scale on Consistent Performance

Atlant Fonder’s flagship fund, Atlant Opportunity, marked its ten-year anniversary this January, closing its first decade with an annualized return of 4.8 percent. Launched...

Allocator Interviews

In-Depth: Diversification

- Advertisement -

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.