Most Hedge Funds Started 2019 on Positive Note with Returns of 2.22 per cent, Says Eurekahedge (Hedg

Most Hedge Funds Started 2019 on Positive Note with Returns of 2.22 per cent, Says Eurekahedge (HedgeWeek)
The Eurekahedge Hedge Fund Index rallied 2.22 per cent in January, supported by the global equity market rally which resulted from the Fed’s dovish stance and optimism over potential progress in the US-China trade talks. The MSCI AC World Index (Local) gained 7.36 per cent over the month, recovering most of the losses it suffered in December last year. Returns were positive across geographic mandates, as most of the fund managers generated gains on the back of the equity market rallies around the globe. North American fund managers gained 3.65 per cent during the month, while their peers focusing on Asia ex-Japan generated 3.11 per cent returns.
 
2.2% = MASSIVE UNDERPERFORMANCE
Yes, YTD SPY returned 8.32%. But we really don't know. On a risk adjusted basis the HF could be doing extremely well. It is easy and fun for us amateur spectators to throw rocks at the professionals. :D

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Yes, YTD SPY returned 8.32%. But we really don't know. On a risk adjusted basis the HF could be doing extremely well. It is easy and fun for us amateur spectators to throw rocks at the professionals. :D

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Similar to how the S&P started last year.
 
In case you didn't read the article:
Fund managers utilising equity long-biased strategies topped the table with their 5.49 per cent gain in January, while on the other end of the spectrum long volatility strategic mandate ended the month down 5.08 per cent as market volatilities remained suppressed throughout the month.
North American long short equity hedge fund managers gained 5.28 per cent in January

So, the outcome depends on the style, opinion of the fund managers.

The old saying is still true: the devil is in the details.
 
Most Hedge Funds Started 2019 on Positive Note with Returns of 2.22 per cent, Says Eurekahedge (HedgeWeek)
The Eurekahedge Hedge Fund Index rallied 2.22 per cent in January, supported by the global equity market rally which resulted from the Fed’s dovish stance and optimism over potential progress in the US-China trade talks. The MSCI AC World Index (Local) gained 7.36 per cent over the month, recovering most of the losses it suffered in December last year. Returns were positive across geographic mandates, as most of the fund managers generated gains on the back of the equity market rallies around the globe. North American fund managers gained 3.65 per cent during the month, while their peers focusing on Asia ex-Japan generated 3.11 per cent returns.

I used to think Hedge funds are market makers. If they are market makers, they cannot make much losses. I have seen George Soros losses billions of dollars when they go against the trend. Now, I have realized large banks are market makers.
 
Yes, YTD SPY returned 8.32%. But we really don't know. On a risk adjusted basis the HF could be doing extremely well. It is easy and fun for us amateur spectators to throw rocks at the professionals. :D

.

2/20 is the biggest risk there is... these blood suckers.
 
I used to think Hedge funds are market makers. If they are market makers, they cannot make much losses. I have seen George Soros losses billions of dollars when they go against the trend. Now, I have realized large banks are market makers.

No, the Fed is the market maker. For the past decade especially, they have been controlling the direction of the market.
 
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