NEW YORK, June 18 /PRNewswire-FirstCall/ -- The Credit Suisse/Tremont Hedge Fund Index Lost 2.76% in May, its lowest performance since November 2008.
A new monthly commentary offers insight into May hedge fund performance. Some key findings from the report include:
- Nine-out-of-ten strategies in the Index posted negative returns in May as market volatility increased amid continued European sovereign risk fears.
- Dedicated Short Bias gained 5.84% and was the only strategy to post positive returns for the month. This positive performance was characteristic for the short-oriented strategy which typically outperforms when markets are down.
- Global Macro was the second-best performer, finishing down 0.63% for the month as managers benefited from their ability to perform tactical trades in primarily liquid instruments.
- Fixed Income Arbitrage also performed well relative to other strategies as managers continued to reduce their risk and leverage levels while staying active in the market.
- Directional strategies largely struggled to find profitable positions amid the market volatility and the largest drag on performance was caused by exposure to cyclical sectors.
Credit Suisse Tremont Index LLC industry commentaries and publications are available on the Research section of our website, www.hedgeindex.com. Click here to view the full report which includes an overview of May hedge fund performance, in-depth commentary on individual hedge fund sectors and hedge fund return dispersion statistics for each strategy.
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