Hedge Fund Hennessee Index
Hedge Fund Index Trails S&P 500 in February 2011
An index compiled by Hedge Fund Research rose 1.21% last month.
The Standard & Poor’s 500 index advanced 3.2% in February, leaving it up 5.53% so far in 2011. The Barclays Aggregate Bond Index gained 0.25% last month, while the Barclays High Yield Credit Bond Index advanced 1.31%, leaving it up 3.55% year to date.
“Managers benefited from modest net long exposure, but overweight exposure to cyclicals, shorts and hedges detracted from performance,” Charles Gradante, co-founder of Hennessee Group, said in a statement. “Managers remain constructive on the equity markets, but are closely monitoring oil markets.”
For the second consecutive month, event-driven hedge funds contributed most to gains by HFR’s index, returning 1.45% in February. These types of funds trade around corporate events such as spinoffs, bankruptcies, mergers and acquisitions. Source