Equity Hedge (Total) Index gained 3.4% in the July-to-September quarter and is up 9.8% year to date, leading all main strategy performance.
An investor who experienced the loss of the HFRI
index needed to generate a return of approximately 42% to get back to even, whereas an investor in the S&P 500 required a return of 104%.
Only the broad hedge fund index HFRI
(6.70 percent p.a.) comes relatively close to these figures, followed by the government bond benchmarks S&P USTI (4.91 percent p.a.), S&P EUGI (4.76 percent p.a.), and SIX SBI (4.20 percent p.a.).
Equity Hedge Index gained +4.0 per cent in 3Q13 and over +9.0 per cent YTD through September, with leading contributions from Technology/Healthcare and Fundamental Value strategies, which have gained +17.0 per cent and +12.9 per cent, respectively, YTD.
Combined with its exposure to the HFRI
Equity Hedge (Total) Index, CAM utilizes its own proprietary research with Markov Processes International's Dynamic Style Analysis ("DSA") hedge fund analysis software, and extensive experience and knowledge of the hedge fund investment community for its portfolio management of QEH.
The 2009 Emerging Markets performance follows the historic decline of 37.26 percent for the HFRI
Emerging Markets (Total) Index in 2008, the worst year of performance on record for Emerging Markets since HFR began tracking the category in 1990.
Macro Index goes back to December 1989, and while hedge fund indexes are far from perfect, serves as a reference point for the efficacy of this disparate group of strategies.
"September performance was led by Equity Hedge strategies, with the HFRI
Equity Hedge Index gaining +2.6 per cent, also the strongest month since January and bringing performance for the first three quarters of 2013 to a gain of +9.2 per cent, leading all hedge fund strategy indices," it said.
Particularly, all correlations of the HFRI
Fund Weighted Composite Index with the traditional asset classes are highly significant, raising doubts about the suitability of hedge funds as a means for portfolio diversification.
Funds listed in the Emanagers Database thus managed to outperform both the HFRI
Fund Weighted Composite Index and the MSCI World Index every year since 2009.
Summary: Hedge Funds returned to positive territory for 2010 in July, as the HFRI
Fund Weighted Composite Index gained +1.82%; the gain reverses two consecutive months of declines and brings index performance YTD 2010 to +1.52%.
Total capital invested in Global Emerging Markets hedge funds increased slightly to over $111 billion, as the HFRI
Emerging Markets (Total) Index gained 0.37 percent for 2Q, slightly narrowing the losses for the first half of the year, which approached seven percent through the end of June.