Browsing: Relative Value Hedge Funds

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Relative Value Hedge Funds

Hedge Fund Performance Gains: Investor Flow Losses

Aug 25th, 2019 | Filed under: Newly Added, Hedge Fund Industry Trends, Hedge Fund Strategies, The A.I. Industry, Equity Hedge Funds, Indexes, Hedge Funds, Event-Driven Hedge Funds, Macro and Managed Futures Funds, Relative Value Hedge Funds, Structure of the Hedge Funds Industry

Global hedge fund assets under management have stayed close to flat for months now. That’s one of the points made in the latest Eurekahedge report. As of July, the AUM is just a little under $2.3 trillion, or roughly where it has been since late last year. Although there haveRead More


High-Yield Credit: The Case for Systematic and Discretionary Management

Aug 4th, 2019 | Filed under: Newly Added, Hedge Fund Strategies, The A.I. Industry, Hedge Funds, Relative Value Hedge Funds

A new look “under the hood” at active credit managers comes from a paper written by two executives at AQR Capital Management. Diogo Palhares and Scott A. Richardson find that long/short fixed-income managers have a high exposure to the credit risk premium. But high-yield-focused long-only managers provide less exposure toRead More


Hedge Fund Performance and Fees: Who is Earning Their Keep?

Jul 30th, 2019 | Filed under: Newly Added, Hedge Fund Industry Trends, CTA, The A.I. Industry, Industry Size & Managers, Equity Hedge Funds, Indexes, Hedge Funds, Event-Driven Hedge Funds, Macro and Managed Futures Funds, Fees, Relative Value Hedge Funds, Structure of the Hedge Funds Industry

The Eurekahedge Hedge Fund Index was up in June, wrapping up a very strong first half of the year for the hedge fund industry. The monthly increase of 1.83% reverses the down month of May, which in turn was a reversal of the strength of the first four months, withRead More


Hedge Fund Index Backslides in May; Remains in Positive Territory

Jun 25th, 2019 | Filed under: Newly Added, Hedge Fund Industry Trends, CTA, The A.I. Industry, Industry Size & Managers, Equity Hedge Funds, Indexes, Hedge Funds, Event-Driven Hedge Funds, Commodities, Funds of Hedge Funds, Relative Value Hedge Funds

Red ink spoiled an otherwise positive 2019 for he Eurekahedge Hedge Fund Index. The decline of 0.71% leaves the year-to-date performance still well up, at +4.32%. Approximately 41.6% of the funds Eurekahedge tracks were in the black for the month. And 15% have generated double-digit gains year-to-date. North America-mandated hedgeRead More


Hedge Funds Performing Well Year-to-Date, But Trade Issues Loom Large

Jun 2nd, 2019 | Filed under: Newly Added, Hedge Fund Industry Trends, Hedge Fund Strategies, The A.I. Industry, Equity Hedge Funds, Indexes, Hedge Funds, Event-Driven Hedge Funds, Relative Value Hedge Funds

The Eurekahedge Hedge Fund Index continues to reflect strong performance for the year. First quarter 2019 was one of the strongest quarterly returns since the global financial crisis, and each of its three months was positive. April was another up month, +1.06%, which brings us to +5.15% YTD. Hedge fundsRead More


HEDGE FUND ETFS: BETTER THAN THE ORIGINALS

May 12th, 2019 | Filed under: Newly Added, Hedge Fund Industry Trends, Retail Investing, Hedge Fund Strategies, The A.I. Industry, Equity Hedge Funds, Hedge Funds, Event-Driven Hedge Funds, Alternative Investments in Context, ETFs, Macro and Managed Futures Funds, Relative Value Hedge Funds, Allocating to A.I.

By Nicolas Rabener of FactorResearch (@FactorResearch) INTRODUCTION As Amazon has been decimating large parts of the retail industry over the last two decades, ETFs have done the equivalent to the mutual fund industry in the financial world. Today ETFs are covering nearly all areas of the markets, no matter howRead More


Hedge Funds: The Strongest Quarterly Return Since the GFC

May 2nd, 2019 | Filed under: Newly Added, Hedge Fund Industry Trends, The A.I. Industry, Equity Hedge Funds, Indexes, Hedge Funds, Event-Driven Hedge Funds, Macro and Managed Futures Funds, Relative Value Hedge Funds

March was a good month and the first quarter of 2019 was promising, according to the April report from Eurekahedge. The Eureka Hedge Fund Index gained 1.06% in March. This yields a first quarter return of 4.36%. As the report says, this is the strongest quarterly return since the globalRead More


Hedge Funds Stronger in January, Thanks to The Fed

Mar 3rd, 2019 | Filed under: Newly Added, Hedge Fund Industry Trends, Performance, Analytics & Metrics, Hedge Fund Strategies, CTA, The A.I. Industry, Industry Size & Managers, Equity Hedge Funds, Benchmarking & Performance Attribution, Hedge Funds, Event-Driven Hedge Funds, Funds of Hedge Funds, Macro and Managed Futures Funds, Relative Value Hedge Funds

Risk-on sentiment returned in January, with good news on trade talks and with the Federal Reserve in the United States putting some distance between itself and its 2018 hard-money stance (the Fed started saying in January that it would be “patient” about selling off-balance sheet assets). Globally, hedge funds grewRead More


Eurekahedge: A Rough Time for the European Mandate Funds

Dec 25th, 2018 | Filed under: Newly Added, Hedge Fund Strategies, The A.I. Industry, Equity Hedge Funds, Hedge Funds, Event-Driven Hedge Funds, Macro and Managed Futures Funds, Relative Value Hedge Funds

European hedge fund managers continue to suffer from the uncertainties of the United Kingdom’s impending exit from the EU. The latest report from Eurekahedge says that European hedge funds have posted losses in eight of the first eleven months of 2018. They haven’t been in the positive numbers since July,Read More


Steamrollers, Geniuses and Market Crashes

Nov 27th, 2018 | Filed under: Newly Added, Hedge Fund Operations and Risk Management, The A.I. Industry, Risk management, Operations, Hedge Funds, The Global Economy & Currencies, Risk Management Strategies & Processes, Relative Value Hedge Funds, Risk Management & Operations, Finance & Economics

McGraw Hill Education has brought out a new book by Bruce I. Jacobs, of Jacobs Levy Equity Management. The book, Too Smart for our Own Good, concerns “ingenious investment strategies, illusions of safety, and market crashes.” The thesis is that the financial crises of recent decades are the consequence ofRead More


Hedge Funds in a Time of Wear and Tear

Oct 21st, 2018 | Filed under: Newly Added, Hedge Fund Industry Trends, Hedge Fund Strategies, The A.I. Industry, Equity Hedge Funds, Indexes, Hedge Funds, Event-Driven Hedge Funds, Relative Value Hedge Funds

The latest report from Eurekahedge tells us that Asia-focused strategies in the hedge fund universe are showing the wear and tear of the US/China trade dispute. The Eurekahedge Greater China Hedge Fund Index shows losses of 8.16% through the first nine months of the year. The Eurekahedge commentary observes thatRead More


Hedge Funds in the Slow-down Phase

Oct 9th, 2018 | Filed under: Newly Added, Hedge Fund Strategies, The A.I. Industry, Equity Hedge Funds, Hedge Funds, Event-Driven Hedge Funds, Macro and Managed Futures Funds, Relative Value Hedge Funds

Fidante Partners, part of the Challenger Limited Group, has issued a white paper on the performance of hedge funds of various strategies in the slowdown and recession phases of a business cycle. The report, written by Joachim Klement, Fidente’s head of investment research, posits that the world is now inRead More


Eurekahedge: Hedge Funds Trailing Behind Last Year’s Performance

Aug 19th, 2018 | Filed under: Newly Added, Hedge Fund Industry Trends, Hedge Fund Strategies, CTA, The A.I. Industry, Industry Size & Managers, Equity Hedge Funds, Hedge Funds, Event-Driven Hedge Funds, Macro and Managed Futures Funds, Relative Value Hedge Funds

According to Eurekahedge, with the July numbers on hedge fund performance now available, 8.5% of hedge fund managers have posted double-digit gains in 2018 to date. Most of that gain is focused on those with a long/short equities mandate. That number is quite low. Eurekahedge contrasts it with the firstRead More


Central banks: Hedge fund friend or foe?

Aug 12th, 2018 | Filed under: Newly Added, The A.I. Industry, Equity Hedge Funds, Hedge Funds, Relative Value Hedge Funds

Are central bankers friends or foes of hedge funds and other seekers of alpha? In particular, what is the answer to this friend-or-foe question for the period since the global financial crisis a decade ago, where the central bankers with whom we are especially concerned are those at the USRead More


Eurekahedge: 2018 YTD Growth Positive but Unimpressive

Jun 24th, 2018 | Filed under: Newly Added, Hedge Fund Industry Trends, Hedge Fund Strategies, CTA, The A.I. Industry, Industry Size & Managers, Equity Hedge Funds, Indexes, Hedge Funds, Event-Driven Hedge Funds, Macro and Managed Futures Funds, Relative Value Hedge Funds

The newest Eurekahedge report says that total hedge fund assets have grown by $26.4 billion in the year to date (through May). The gain is the result of inflow, not of positive performance. Assets flowing in to the industry’s coffers YTD equal $30 billion, and one gets the net growthRead More


Preqin: Another Net Outflow Year Underway for Hedge Fund Industry

Apr 20th, 2017 | Filed under: Newly Added, Hedge Funds, Relative Value Hedge Funds

In the February issue of its Hedge Fund Spotlight, Preqin looks into its crystal ball and tells us of its near term (2017) predictions for the hedge fund industry. The article begins with a simple observation: hedge funds saw net outflows of assets under management (AUM) in 2016. Likewise, 54%Read More


Eurekahedge: Exodus from the Event-Driven Funds YTD  

Oct 23rd, 2016 | Filed under: Newly Added, Equity Hedge Funds, Hedge Funds, Event-Driven Hedge Funds, Commodities, Relative Value Hedge Funds, Allocating to A.I.

The event-driven hedge fund space is the most troubled in a generally troubled time for the industry. According to the new Eurekahedge report, the event-driven strategy “has seen US$14 billion investor redemptions over the past nine months,” and $10.7 billion over just the past six months. The first nine monthsRead More


Eurekahedge on Outflows, Performance and Tail Risk

Sep 27th, 2016 | Filed under: Newly Added, CTA, Equity Hedge Funds, Hedge Funds, Commodities, Macro and Managed Futures Funds, Relative Value Hedge Funds

Eurekahedge, a provider of hedge fund industry news since 2001, has released its report about the state of the industry in August 2016. Among the key points: August was the fourth consecutive month of outflows. Although preliminary, the data for the month suggests a net asset outflow of $7.5 billion.Read More


Eurekahedge: Redemptions Exceeding New Investment for HFs Worldwide

Sep 5th, 2016 | Filed under: Newly Added, Commodities, Hard metals, Hedge Funds, Commodities, Commodities: Examples, Energy, Relative Value Hedge Funds

Hedge funds have now seen three consecutive months in which redemptions have exceeded new investment, for a net outflow. The net outflow for July alone was $5.7 billion. Fortunately, July also saw performance based gains of $10.5 billion, so the total assets under management grew slightly. The table below adaptedRead More


Waiting for Normalization: Issuing Convertibles

Aug 2nd, 2016 | Filed under: Newly Added, Hedge Funds, Relative Value Hedge Funds

A moderate increase in the issuance of convertible bonds globally over the last three years came about only after a long post-crisis decline. At the convert market’s peak, in 2007, issuers placed $160 billion of these instruments. The placement for 2008 was only half that. By 2012 the market wasRead More


Brexit and Hedge Fund Strategies

Jun 30th, 2016 | Filed under: Newly Added, Currencies, Equity Hedge Funds, Hedge Funds, The Global Economy & Currencies, Relative Value Hedge Funds, Finance & Economics

How well did hedge funds help their investors to hedge potential losses as a consequence of the markets’ immediate reaction to the Brexit vote in the United Kingdom? How well will they hedge the other uncertainties going forward? Thursday, June 23, the UK voted to leave the European Union. TheRead More


Eurekahedge: Distressed Debt Managers Led the Tables in May

Jun 28th, 2016 | Filed under: Newly Added, Equity Hedge Funds, Hedge Funds, Event-Driven Hedge Funds, Relative Value Hedge Funds

The latest report from Eurekahedge, in its tracking of the health of the hedge fund industry worldwide and month by month, indicates that hedge funds were up 0.40% in May. Reversals in commodity prices in the middle of the month, and weak equity performance in developing markets, both had anRead More


Challenges to Mergers: Not So Automatic Anymore?

Jan 31st, 2016 | Filed under: Newly Added, The A.I. Industry, Regulatory Environment, Hedge Funds, Legislation/Court rulings, Relative Value Hedge Funds

The Delaware Court of Chancery has become increasingly hostile of late to lawsuits that challenge corporate mergers on fiduciary grounds. This is important, because the course of recent decades certain boilerplate sorts of lawsuits have become a regular feature of the mergers-and-acquisitions landscape in the U.S.  The law has allowedRead More


M&A: Are the Delaware Courts Becoming Intrusive?

Nov 8th, 2015 | Filed under: Regulatory Environment, Legislation/Court rulings, Relative Value Hedge Funds

In 2014 it seemed possible that investment bankers could shrug off the Rural Metro decision as an anomaly; that is, as an example of how bad cases make bad law. But if a pending decision in the Supreme Court upholds the Chancery Court, they'll know they're dealing not with an anomaly but with a trend.Read More


Merger Arb: News from Delaware’s Chancery Court

Oct 13th, 2015 | Filed under: Regulatory, Hedge Funds, Relative Value Hedge Funds

The court in Delaware clearly doesn’t believe that eliciting certain undramatic tidbits of news as supplemental disclosures is enough to earn plaintiffs’ attorneys their fees. Vice Chancellor Laster in particular has, in his own words, “been giving these [cases] a hard look for a while now,” and with Aruba the court puts its foot down. Read More