Eurekahedge publishes March report
March 19, 2019

The Eurekahedge report for March has been published this morning. It highlights the following as items of interest.

The Eurekahedge Hedge Fund Index gained 0.89 percent in February, bringing its year-to-date return to 3.26 percent. The risk-on sentiment among investors driven by the Fed's patient stance and optimism over the potential resolution of the US-China trade tension persisted through the month, sending global equity markets on a rally through February.

The global hedge fund industry saw performance growth totalling US$39.5 billion over the first two months of 2019, supported by the global equity market performance since the beginning of the year. Despite the positive performance figures, net investor redemptions stood at $15.1 billion over the same period.

The Eurekahedge Fixed Income Hedge Fund Index gained 0.61 percent in February, as growth forecast cuts among the developed economies led to lower bond yields, resulting in strength in the government and high-yield bond markets. The fixed income strategic mandate was up 2.29 percent year-to-date, with all of its underlying mandates in positive territory.

Hedge fund managers utilizing CTA/managed futures strategies were up 0.37 percent in February, with mixed returns among the underlying regional mandates. Rising oil prices resulting from the OPEC's production cut and a drop in the US crude supplies contributed to the strategy's performance during the month. On a year-to-date basis, the Eurekahedge CTA/Managed Futures Hedge Fund Index was up a meagre 0.16 percent.

Fund managers utilizing AI/machine learning strategies were down 0.32 percent in February, dragging their year-to-date returns to 2.02 percent. Quant strategies continued to fall out of investors' favour, with the CTA/managed futures mandate seeing investor redemptions totalling $29.0 billion in 2018 and $4.0 billion as of February 2019 year-to-date.

The Eurekahedge Crypto-Currency Hedge Fund Index gained 12.74 percent in February, recording its best month in nearly a year. Roughly half of the underlying crypto-currency hedge funds managed to outperform Bitcoin which gained 9.65 percent during the month.

The Eurekahedge Greater China Long Short Equities Hedge Fund Index was up 8.31 percent over the first two months of 2019, supported by the underlying region's equity market rally which resulted from investor optimism over the US-China trade negotiations and the US Federal Reserve's dovish stance.

The Greater China hedge fund industry's asset currently stands at $28.7 billion, marginally up from the $28.0 billion figure by the end of 2018. Hedge fund managers focusing on the region were hit particularly hard by the aggressive Fed rate hikes and the US-China trade friction in 2018, as indicated by the $2.3 billion of performance-based losses recorded during the year. Despite that, investor allocations toward the region remained robust, as the industry saw $1.0 billion of net inflows in 2018.





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The Eurekahedge report for March has been published this morning. It highlights the following as items of interest.

The Eurekahedge Hedge Fund Index gained 0.89 percent in February, bringing its year-to-date return to 3.26 percent. The risk-on sentiment among investors driven by the Fed's patient stance and optimism over the potential resolution of the US-China trade tension persisted through the month, sending global equity markets on a rally through February.

The global hedge fund industry saw performance growth totalling US$39.5 billion over the first two months of 2019, supported by the global equity market performance since the beginning of the year. Despite the positive performance figures, net investor redemptions stood at $15.1 billion over the same period.

The Eurekahedge Fixed Income Hedge Fund Index gained 0.61 percent in February, as growth forecast cuts among the developed economies led to lower bond yields, resulting in strength in the government and high-yield bond markets. The fixed income strategic mandate was up 2.29 percent year-to-date, with all of its underlying mandates in positive territory.

Hedge fund managers utilizing CTA/managed futures strategies were up 0.37 percent in February, with mixed returns among the underlying regional mandates. Rising oil prices resulting from the OPEC's production cut and a drop in the US crude supplies contributed to the strategy's performance during the month. On a year-to-date basis, the Eurekahedge CTA/Managed Futures Hedge Fund Index was up a meagre 0.16 percent.

Fund managers utilizing AI/machine learning strategies were down 0.32 percent in February, dragging their year-to-date returns to 2.02 percent. Quant strategies continued to fall out of investors' favour, with the CTA/managed futures mandate seeing investor redemptions totalling $29.0 billion in 2018 and $4.0 billion as of February 2019 year-to-date.

The Eurekahedge Crypto-Currency Hedge Fund Index gained 12.74 percent in February, recording its best month in nearly a year. Roughly half of the underlying crypto-currency hedge funds managed to outperform Bitcoin which gained 9.65 percent during the month.

The Eurekahedge Greater China Long Short Equities Hedge Fund Index was up 8.31 percent over the first two months of 2019, supported by the underlying region's equity market rally which resulted from investor optimism over the US-China trade negotiations and the US Federal Reserve's dovish stance.

The Greater China hedge fund industry's asset currently stands at $28.7 billion, marginally up from the $28.0 billion figure by the end of 2018. Hedge fund managers focusing on the region were hit particularly hard by the aggressive Fed rate hikes and the US-China trade friction in 2018, as indicated by the $2.3 billion of performance-based losses recorded during the year. Despite that, investor allocations toward the region remained robust, as the industry saw $1.0 billion of net inflows in 2018.



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