Hedge Fund Performance Commentary

The Eurekahedge Hedge Fund Index was up 1.85% in August, bringing its year-to-date return to 3.79% and its five-month trailing return to 12.85% since end-March. The robust performance of the global equity markets on the back of the encouraging development of the COVID-19 vaccine and improving macroeconomic data supported hedge fund managers' performance. In the US, the declining daily COVID-19 cases on top of the Fed's new inflation targeting framework boosted the region's equity market. The tech-heavy NASDAQ recorded the strongest return of 9.59%, while the S&P 500 was up 7.20% in August. The Fed shifted its approach to inflation to 'average inflation target' aiming to achieve an average inflation rate of two percent over time, which were expected to result in keeping the interest rates lower for an extended period.

Please login to read the rest of the article or sign up for a free trial.