Hedge Funds gained 0.54 per cent in July according to the Barclay Hedge Fund Index compiled by BarclayHedge, versus a 3.72 per cent increase in the S&P 500 Total Return Index.
Year to date, the Barclay Index is up 1.04 per cent, while the S&P has gained 6.47 per cent.
“In spite of July’s rise in global equities, hedge fund performance was mixed,” says Sol Waksman, founder and president of BarclayHedge.
Twelve of Barclay’s 17 hedge fund indices gained ground in July, while five had losses. The Healthcare & Biotechnology Index was up 1.83 per cent, Equity Long Bias scored a 1.52 per cent gain, European Equities were up 0.73 per cent, while Emerging Markets ended their five-month losing streak with a 0.22 per cent gain.
The Technology Index fell 0.95 per cent in July, Pacific Rim Equities were down 0.79 per cent, Global Macro lost 0.61 per cent, and Merger Arbitrage gave up 0.38 per cent.
“Technology funds were negatively impacted by Facebook’s record 20 per cent decline triggered by the announcement of weaker-than-expected revenue growth,” says Waksman. “Based on Q1 13F filings, Facebook was the third most widely-held stock in hedge fund portfolios. Microsoft was the most popular and Google was second.”
After seven months, 12 hedge fund indices have gains in 2018, while five have negative returns for the year. Healthcare & Biotechnology continues its strong performance with an 11.70 per cent year-to-date gain. Distressed Securities are up 6.96 per cent, the Technology Index has gained 6.22 per cent, and European Equities are up 3.32 per cent.
The Emerging Markets Index has a loss of 4.39 per cent in 2018, Pacific Rim Equities are down 3.47 per cent, and Global Macro has lost 1.63 per cent.
The Barclay Fund of Funds Index gained 0.45 per cent in July, and is now up 0.97 per cent for the year.
