2013 has been good to the hedge fund industry, according to the most recent report from eVestment.
Data from the Atlanta-based investment database and technology solutions firm’s December and 2013 Hedge Fund Performance report estimated that hedge funds saw an average return of 1.2% in December and ended the year returning 9.2%-- the industry’s strongest performance in three years.
Activist hedge funds offered the best performance in December, posting a 2.54% return for the month and 19.07% for 2013. Comparatively, relative value credit funds were the worst-performing strategy in December, posting gains of just 0.16%, however its return for the year was 5.03%. Managed futures, which gained 1.23% in December, is the only strategy that saw a negative return for 2013; it fell 0.61%.
Hedge funds with exposure to Japan, Africa/Middle East and China led the industry last year, returning 35%, 21.1% and 16.5%, respectively, while India, Brazil and emerging Europe all saw negative posts for the same period.
Founded in 2000, eVestment acquired hedge fund analysis provider Pertrac and cloud-based hedge fund technology provider Fundspire last year. It now offers one of the world’s largest traditional and alternative investment databases.