Hedge funds lost 0.32 per cent in October, according to the Barclay Hedge Fund Index compiled by BarclayHedge.
Year to date, the index is up 4.03 per cent, despite 10 of Barclay’s 17 hedge fund indices losing ground in October.
The Healthcare and Biotechnology Index dropped 6.09 per cent, giving back its 5.42 per cent September gain. The Technology Index lost 1.19 per cent, Equity Long Bias was down 1.15 per cent, European Equities lost 0.64 per cent, and the Equity Long/Short Index gave up 0.48 per cent.
“Election uncertainties, somewhat hawkish Fed comments, and the release of September’s Fed minutes prompted investors to take some risk off the table,” says Sol Waksman (pictured), founder and president of BarclayHedge. “The upshot was a fall in prices for equities, bonds, and commodities.”
On the positive side, the Distressed Securities Index gained 2.01 per cent, Emerging Markets were up 0.63 per cent, Pacific Rim Equities gained 0.31 per cent, and the Equity Market Neutral Index added 0.18 per cent.
At the end of October, 11 Barclay hedge fund indices have made gains in 2016. Emerging Markets are up 11.56 per cent, Distressed Securities have gained 10.71 per cent, the Event Driven Index is up 8.29 per cent, Convertible Arbitrage has gained 4.35 per cent, and the Merger Arbitrage Index is up 3.89 per cent.
The European Equities Index is down 5.54 per cent year to date, Healthcare and Biotechnology has lost 5.50 per cent, Global Macro is down 1.28 per cent, and Pacific Rim Equities have given up 1.08 per cent.
The Barclay Fund of Funds Index lost 0.24 per cent in October, and is down 1.53 per cent in 2016.
