Market neutral long/short hedge funds’ recent bounce remains vulnerable to factor rotations, says Lyxor Submitted By Hugh Leask | 12/04/2021 - 1:25pm Market neutral long/short hedge funds have been boosted by the recent bounce in Momentum stocks – but Lyxor Asset Management strategists believe the strategy is vulnerable to sudden factor rotations over the longer-term. The performance of Momentum stocks has stabilised in recent weeks, following the sharp correction in November, in turn aiding certain hedge fund strategies – such as market neutral long/short – which have a Momentum bias.