Hedge funds outperform underlying markets by 8.08% in May

Hedge funds were down for the third consecutive month in May amid broad declines in global markets

The Eurekahedge Hedge Fund Index lost 1.24% during the month, bringing the year-to-date (YTD) May return to 2.23%. In comparison the MSCI World Index was down by 9.32%.

Key highlights for May 2012:

• Hedge funds outperformed underlying markets by 8.08% in May.
• CTA/managed futures funds gain 2.60% in largely negative month, along with a 0.65% gain in the Mizuho-Eurekahedge Macro Index.
• Assets in macro hedge funds at historical high levels, cross US$140 billion for the first time.
• Nearly 350 new hedge funds have been launched in the first five months of the year.
• 920 hedge funds are up more than 10% YTD with the most prolific strategy amongst this group being long short equities.
• In addition 153 funds are up more than 20% and 10 funds are up more than 50%.

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