Hedge funds struggle to beat index

Hedge funds lagged the overall market in February, as the best performing category mustered only have of the growth of the S&P 500, according to EDHEC-Risk Institute.

The U.S. broad market index turned in a gain of 3.43% for the month, while CTA (Commodity Trading Advisors) global funds returned 1.72%, making it the best hedge strategy for the month. Convertible arbitrage strategies posted the second best average performance, with 1.66%.

On the other end of the spectrum, short-selling strategies were punished by the market’s rise, losing 3.22%. Emerging market strategies also turned negative, with losses of 0.45%.

Staff

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