As of September 17, with 2345 individual hedge fund products reporting performance figures, the HFN Hedge Fund Aggregate Average was -1.39% in August while the S&P 500 Total Return was +1.50%. Through the first eight months of 2007 the Aggregate is +6.13% and the S&P 500 TR is +5.20%.
Key events during August include:
• Volatility remained in equity markets as the VIX index reached its highest levels since March 2003.
• Crude oil prices fell more than 10% from early month spike.
• 10YR U.S. Note yields fell 44 basis points from July highs.
Source : Hedgefund.net
Key events during August include:
• Volatility remained in equity markets as the VIX index reached its highest levels since March 2003.
• Crude oil prices fell more than 10% from early month spike.
• 10YR U.S. Note yields fell 44 basis points from July highs.
August proved to be a difficult month for hedge funds. When the dust settled, hedge funds underperformed the S&P 500 TR by the largest margin since December 2003. In that month, the average hedge fund was actually +2.17%. Going back ten years, August 2007 ranked as the 6th worst month of hedge fund performance. When looking at the fifteen most negative months in the last 10 years of hedge fund history, August 2007 was the only one in which the S&P was positive. Additionally, August was also the only one in which hedge funds underperformed the S&P 500 TR.
Source : Hedgefund.net
