FAIRFIELD, Iowa, March 12, 2018 — Hedge Funds lost 1.53% in February according to the Barclay Hedge Fund Index compiled by BarclayHedge, versus a 3.69% decline in the S&P 500 Total Return Index. Year to date, the Barclay Index remains up 0.52%, but lags the S&P which has gained 1.83%.
“Reports of increasing wages, a strengthening economy, and job growth in the US stoked inflation fears and set the stage for the Dow’s decline of 1,175 points on February 5th, its worst ever single-day loss,” says Sol Waksman, founder and president of BarclayHedge.
Thirteen of Barclay’s 17 hedge fund indices lost ground in February. The Global Macro Index was down 3.08%, Equity Long Bias lost 2.78%, Pacific Rim Equities were down 2.14%, and the Event Driven Index gave up 1.42%.
“Many Global Macro funds started the month with long exposure to US equities and oil markets and found themselves confronted with difficult headwinds. Seventy-four percent of macro funds incurred losses on the month,” says Waksman.
The Technology Index was up 1.15% in February, adding to a 3.45% January gain. Distressed Securities were up 0.63%, and the Convertible Arbitrage Index gained 0.37%.
After a strong performance in January, most hedge fund indices remain in positive territory in 2018. Technology leads all hedge fund strategies after two months with a 4.64% positive return. Healthcare & Biotechnology has gained 3.75%, the Emerging Markets Index is up 2.78%, and Distressed Securities have gained 2.71%.
Pacific Rim Equities have lost 0.76% year to date, Merger Arbitrage is down 0.66, and the Equity Long Bias Index has slipped 0.25%.
The Barclay Fund of Funds Index lost 1.69% in February, but has a 0.43% gain year to date.
For a complete table of BarclayHedge Hedge Fund Index and Sub-Index numbers for Febuary as well historical returns, click here.
Sol Waksman is the founder and president of BarclayHedge. Waksman is an industry expert and experienced media source, providing perspectives on hedge fund and managed futures trends.
BarclayHedge is the global leader in providing independent, research-based information services to the alternative investment industry. Founded in 1985, Barclay currently maintains data on more than 6,800 hedge funds, fund of funds, and CTAs. No one has been in the business of collecting alternative investment data longer than BarclayHedge.
Institutional investors, brokerage firms, and private banks worldwide utilize BarclayHedge indices as performance benchmarks for the hedge fund and managed futures industries.