Hedge funds delivered positive performance and attracted fresh capital at the start of 2026, with the SS&C GlobeOp Hedge Fund Performance Index recording a gross return of 1.34% in January, and the SS&C GlobeOp Capital Movement Index, up 0.87% in February.
The February reading marked the strongest monthly net inflow into hedge funds in 15 months, signalling renewed investor interest amid ongoing macroeconomic uncertainty.
“With ongoing trade frictions, sticky inflation and policy uncertainties, investors continue to favour allocations to hedge funds as a way to mitigate downside risk and preserve capital during periods of heightened volatility,” said Bill Stone, chairman and chief executive officer of SS&C Technologies.
The SS&C GlobeOp Hedge Fund Performance Index provides an asset-weighted snapshot of hedge fund returns based on funds administered on the SS&C GlobeOp platform. First launched in January 2006, the index is designed to avoid selection and survivorship bias and offers a broad reflection of aggregate hedge fund performance without overstating the contribution of any single strategy.
SS&C said the index has historically shown a relatively low correlation of around 25% to 30% with major equity market indices, underscoring hedge funds’ diversification benefits compared with traditional asset classes.
Meanwhile, the Capital Movement Index, which tracks net subscriptions and redemptions as a proportion of total assets under administration, rose to 128.63 points in February, up 0.87 points from January. Over the past 12 months, the index has advanced by 4.62 points, reflecting a steady improvement in hedge fund capital flows.
SS&C said the next update to the Capital Movement Index is scheduled for 12 March, 2026.
