Early estimates indicate the Credit Suisse/Tremont Hedge Fund Index will finish up 0.39 per cent in December 2009, based on 62 per cent of assets reporting. Top performing sectors in December included event driven (up 1.91 per cent), long/short equity (2.01 per cent), emerging markets (2.18 per cent) and convertible arbitrage (2.08 per cent). Event driven managers capitalised on their credit books as high yield and leveraged loan markets spreads tightened. Managers also seized opportunities in select idiosyncratic distressed situations.  Long/short equity and emerging markets experienced positive performance in the final month of the year with performance largely propelled by

The Hennessee Hedge Fund Index advanced 2.27 per cent in December, bringing its year-to-date performance to 24.85 per cent. The S&P 500 rose 2.81 per cent in December (24.71 per cent YTD), the Dow Jones Industrial Average increased 0.80 per cent (18.82 per cent YTD), and the Nasdaq Composite Index advanced 5.81 per cent (43.89 per cent YTD).  The Barclays Aggregate Bond Index declined 1.56 per cent (+5.63 per cent YTD).  “With December’s positive performance, the Hennessee Hedge Fund Index has recouped the entirety of 2008’s losses (-19.83 per cent), and the index has established a new high water mark,”

The new Ucits IV Directive is not bringing the operational cost reductions many European investment fund asset managers assumed but they are still finding benefits around business model alignment, according to an Ernst & Young survey. In a poll of 98 European investment fund participants, 49 per cent said that business model alignment with Ucits IV is the biggest driver for improving their operating model. This compared to 37 per cent that identified cost efficiency.  Crispin Rolt, Ernst & Young’s Ucits IV leader, says: “Many fund managers assumed that Ucits IV would offer significant opportunity to reduce operational cost. However,

Appleby, an offshore legal, fiduciary and administration service provider, is opening its latest office in Guernsey. The new office will be operational in the spring of 2010 and will practise Guernsey law with a focus on corporate, commercial, private client, litigation, insolvency and restructuring. Following approval by the Guernsey Financial Services Commission, it will also offer a complete range of fiduciary services. Appleby Guernsey will initially comprise two group partners, Barney Lee and Helen Crossley, in the corporate team and two partners, Jeremy Le Tissier and Gavin Ferguson, in the litigation/insolvency and private client/trust teams.  In addition, David Clark, a

Aircraft leasing manager Rockton has launched a closed-ended USD200m fund targeting the global regional aircraft sector. The fund is aimed at professional investors such as family offices, asset managers, and institutions. Rockton has during the last ten years exploited the regional aircraft segment on behalf of a narrow group of investors returning a triple digit yield. Rockton operates globally with offices in the US and Sweden. Rockton says aircraft investments with operational leases to airlines have become the most profitable segment within the commercial aviation industry and have over the last 15 years shown good growth. It says the regional

Citi has launched a full service end-to-end integrated servicing solution for EU domiciled hedge funds.  The product was launched in response to increasing demand from investors and hedge fund managers to establish hedge funds in EU domiciles, such as Ireland and Luxembourg.  The servicing solution includes prime finance, custody, middle office support, fund administration, corporate secretarial services, distribution support, fiduciary services and compliance monitoring.   It builds upon Citi’s front, middle, and back office solutions for hedge fund managers while also using Citi’s experience in the traditional long-only fund administration and fiduciary businesses.    “Investors are now focused on governance,