Amid investor concerns that the market may get ahead of the Fed in terms of expectations for rate hikes and/or tapering of the balance sheet, Chair Jerome Powell - and his team - keep hammering on the 'lower for longer' message. Thus far, they are winning. On Thursday, in the wake of March's much-better-than-expected retail sales (chart here), the 10-year treasury yield collapsed 11 basis points to 1.53 percent. This is a big tell. Time will tell. On Friday, rates rose four basis points to 1.57 percent. It is beginning to look like the 10-year wants to head lower.
Funds made gains of 6% for the first quarter of the year - the strongest since the 2008 financial crisisHedge funds enjoyed soaring profits in the first three months of 2021, following record gains in 2020, as they were able to dodge several high-profile obstacles including the squeeze from retail investors over GameStop shares and the collapse of distressed hedge fund Archegos Capital Management.Funds achieved gains of almost 6% between January and March, according to data from HFM, pushing the annual return of the funds tracked in its global index above 30%, one of the strongest performances on record.
Hedge fund managers will play a crucial role in figuring out who's not living up to their environmental, social and governance promises, according to an adviser to the industry. Petra Dismorr, chief executive officer of London-based NorthPeak Advisory, spends her time telling hedge funds and private equity firms in the U.S., Asia and London that ESG considerations are key to winning mandates in Europe. She also says hedge funds will ultimately have an edge when it comes to addressing a principle investor concern: policing companies that might not be as clean as they claim.
The amount of distressed debt has dropped precipitously, from $1 TN last March to under $100 BN today. However, there are numerous other attractive opportunities for investors in distressed companies before, during, and even after bankruptcy.
SPACs-focused asset manager Wealthspring unveils debut hedge fund strategy Submitted By Hugh Leask | 16/04/2021 - 2:25pm US investment manager Wealthspring Capital has launched its debut hedge fund strategy, Fountain Opportunities, which aims to capitalise on the ongoing boom in special purpose acquisition companies (SPACs). The new fund, Fountain Opportunities, will take an opportunistic approach to the SPAC market through selective positioning in all aspects of the SPAC ecosystem and life-cycle, from SPAC to DeSPAC. The fund will employ leverage to buy and trade around positions and offers strategic participation in private investment in public equities.
$14B Hedge Fund Brevan Howard Set To Start Buying Cryptocurrencies, As Institutional Interest Booms | Currency News | Financial And Business News | Markets Insider
Summary List Placement Brevan Howard, a $13.7 billion hedge fund, is set to start buying cryptocurrencies. The hedge fund would be the latest big-name investor to get involved with crypto. Data showed that crypto hedge funds have reaped massive returns in 2021, gaining 117% in Q1. Sign up here for our daily newsletter, 10 Things Before the Opening Bell. Brevan Howard, one of Europe's largest hedge funds, is set to become the latest big-name investor to start buying cryptocurrencies.
Hedge funds up 1.23 per cent in March, says Backstop BarclayHedge Submitted 16/04/2021 - 9:15am The hedge fund industry continued its positive run in March returning 1.23 per cent for a fifth consecutive month in the black, according to the Barclay Hedge Fund Index compiled by BarclayHedge, a division of Backstop Solutions. By comparison the S&P 500 Total Return Index gained 4.38 per cent during the month. For the year to date, the hedge fund industry was up 4.93 per cent through the end of March. The S&P 500 Total Return Index returned 6.17 per cent over the same period.