The global hedge fund industry returned +0.33% in March, according to the just-released eVestment March 2017 Hedge Fund Performance Report. Returns for the first quarter of the year stood at +2.63% and returns for the past 12 months now stand at +8.48%. In all of 2016, hedge funds returned +5.61%.
After a bumpy period, investors are giving renewed attention to hedge funds following this string of positive results, allocating $7.9 billion in new funds to the $3 trillion industry February, as reported in eVestment’s most recent hedge fund asset flows report. March’s performance results may increase investor interest even more.
Some interesting points from the report include:
- Among major strategies, Quantitative Direction Equity and Long/Short Equity strategies were among the strongest performers, returning +0.77% and +0.74% respectively.
- Among primary markets, Volatility/Options Strategies and Equities were strong performers, with +0.85% and +0.81% performance respectively. Equity market funds were among the strongest performers among key hedge fund universes in Q1, returning +3.98% during the past quarter.
- Among regional focused funds, India funds made the strongest showing in March and Q1, returning +5.13% for the month and +14.76% for the quarter.
- China-focused funds are also showing signs of strength, returning +2.70% in March and +8.82% for the quarter, while funds focused on Japan and Brazil both turned negative in March, although their quarterly performance numbers are still in positive territory.
- After two consecutive negative months, commodity funds are the most negative of any asset class or primary strategy in 2017, with -1.12% returns in March and -0.75% returns for Q1.
To download a full copy of the report, please click here.