Hedge Funds Q3 2011 Performance
Report: Hedge Funds Have Worst Quarter Since 2008
Hedge funds posted their worst returns in three years in the third quarter, and the fourth quarter appears to be off to an equally rocky start.
For hedge funds around the world, the average loss was 5.02 percent in the three months ended Sept. 28, according to Hedge Fund Monitor, a report compiled by analysts with Bank of America.
Not since the third quarter of 2008, when the global financial system ground to a halt and hedge funds posted an average decline of 9.48 percent, has the $2 trillion industry performed so poorly.
Many savvy money managers were badly bruised by August's vicious market sell-off, and September brought no reprieve. The report said the average hedge fund loss was 2.31 percent last month as concern mounted about the European debt crisis and commodities from gold to corn nose-dived. Source