The RBC Hedge 250 Index had a net return of 1.58 per cent in April bringing the year-to-date return to 6.79 per cent.
These returns are estimated and will be finalised by the middle of next month. The return for March 2006 has been finalised at 1.76 per cent.
The RBC Hedge 250 Index is an investable benchmark of the performance of the hedge fund industry, and operates in accordance with a unique construction methodology. Comprised of more than 250 actual hedge funds, the RBC Hedge 250 Index is positioned as the industry's most diversified and representative investable index.
Since its inception on July 1, 2005 through the end of March 2006, the RBC Hedge 250 Index has had a net return of 11.37 per cent. In comparison, over the same period, other investable indices have averaged 7.36 per cent while non-investable indices have averaged 12.96 per cent, according to information reported by the sponsors of those indices.
Background notes: For the past 10 years, RBC's Alternative Asset Group has created structured products referencing portfolios of hedge funds. It holds investments in over 1,000 hedge funds. AAG is the oldest dedicated group in the industry and has developed a significant infrastructure and extensive experience in the areas of fund due diligence, risk analysis, transaction execution, and portfolio administration and valuation.
RBC Capital Markets is the corporate and investment banking arm of RBC Financial Group and is active globally in fixed income, foreign exchange, infrastructure finance, structured products, metals and mining, and energy. Its North American equity underwriting; sales, trading and research business dominates the Canadian market and supports a significant and growing franchise in the US middle market. The firm's international fixed income, structured products and treasury businesses are managed from London, which is the centre of a 24-hour trading platform with major hubs in Toronto, New York and Sydney.