Hedge Funds slipped 0.02 per cent in September according to the Barclay Hedge Fund Index compiled by BarclayHedge, versus a 0.57 per cent increase in the S&P 500 Total Return Index.
Year to date, the Barclay Hedge Fund Index is up 1.25 per cent, while the S&P has gained 10.57 per cent.
“In spite of interest rates reaching multi-year highs, US equities were able to squeak out a modest profit,” says Sol Waksman, founder and president of BarclayHedge. “However, hedge fund returns were mixed. Winners and losers were evenly split.”
Out of Barclay’s 17 hedge fund indices, 12 gained ground in September while five indices had losses.
The Healthcare & Biotechnology Index was up 0.83 per cent, continuing its six-month winning streak. Fixed Income Arbitrage gained 0.71 per cent, European Equities were up 0.60 per cent, and Pacific Rim Equities gained 0.66 per cent.
Emerging Markets gave up 1.20 per cent in September, the Equity Long Bias Index lost 0.15 per cent, and Global Macro was down 0.05 per cent.
“Declining Chinese exports and a weakening Yuan in the face of increasing US tariffs and interest rates have led to heightened investor concerns about emerging markets,” says Waksman.
At the end of September, 13 hedge fund indices have positive returns for the year, while four have losses.
Healthcare & Biotechnology is up 17.55 per cent, the Technology Index has gained 14.56 per cent, Distressed Securities are up 8.10 per cent, European Equities have a 3.19 per cent return, and Equity Long Bias has gained 3.17 per cent.
The Emerging Markets Index has lost 7.83 per cent in 2018, Pacific Rim Equities are down 2.34 per cent, the Multi Strategy Index has a 0.51 per cent loss, and Global Macro is down 0.47 per cent.
The Barclay Fund of Funds Index gave up 0.31 per cent in September, but still has a 0.36 per cent gain for the year.
