Final performance for the Credit Suisse/Tremont Hedge Fund Index was down 0.88 per cent in February, according to Oliver Schupp, president of Credit Suisse Index.
Final performance for the Credit Suisse/Tremont Hedge Fund Index was down 0.88 per cent in February, according to Oliver Schupp, president of Credit Suisse Index.
Schupp says: ‘Hedge Funds capitalized on market swings in February as volatility in global equity markets was fueled by adversity between the financial sector and the economy. Convertible Arbitrage strategies continued the rally that began in January, reflecting increasing demand and liquidity in the sector. Overall, four of the Index’s ten sectors finished the month in positive territory.
‘The Equity Market Neutral sector of the Broad Benchmark Index was affected by the events surrounding WGTC Limited, a member fund in the Index. Given all available information, the assets of WGTC Limited have been marked down approximately 80 per cent for February to reflect the news.’
On the positive side, convertible arbitrage was up 0.75 per cent in February, while dedicated short bias was up 3.22 per cent, fixed income arbitrage up 1.01 per cent and global macro up 0.21 per cent.
However, emerging markets fell 2.10 per cent in February, while equity market neutral was down 5.61 per cent, event driven down 1.13 per cent and long/short equity down 1.34 per cent.
