Hedge funds start the year with positive returns of 1.98%

Hedge funds posted excellent returns in January on the back of rising risk appetite and rallying equity markets globally. The Eurekahedge Hedge Fund Index was up 1.98%¹ during the month, while the MSCI World Index² gained 4.66%. 

Key takeaways for the month of January 2013:

• 80% of hedge funds reported positive performance in January, compared to the 2012 monthly average of 60%
• Asia ex-Japan and Eastern Europe & Russia hedge funds outperformed underlying markets, up by 5.03% and 7.67% respectively
• Distressed debt hedge funds gained 3.47% in January; delivering the strongest results among the various strategies for 6 consecutive months with gains of 14% over this period
• Japanese hedge funds witnessed the strongest January return on record
• Relative value funds continued their winning streak into the 8th month with gains of 1.12% in January
• The asset-weighted Mizuho-Eurekahedge Asia ex-Japan Long Short Equities Index was up 4.64% during the month
• CTA/managed futures funds gained 1.69% in January – more than their annual 2012 return

To read more, please see the full Eurekahedge Index Flash, also accessible on Scribd and Issuu.