The Lyxor Hedge Fund Index was down 1.07 per cent in April, with seven out of 10 Lyxor indices in positive territory, according to the firm's latest Alternative Investment Industry Barometer.
Bottom-up strategies outperformed, supported by the improvement of the alpha backdrop.
On the negative side, macro strategies suffered ahead the French elections.
“Lower near-term political risk and persisting signs of recovery lead us to be overweight on European stocks and banks. Stock pickers should also benefit from the improvement of the alpha backdrop as investors re-focus on the European recovery and companies’ fundamentals. Overall, we continue to favour micro versus macro strategies. We are cautious on CTAs and global macro as the trend-following potential for several asset classes seems limited for now,” says Jean-Baptiste Berthon, senior cross-asset strategist, Lyxor Asset Management.