Hedge funds recover from early-2016 losses, up 1.15%

EurekaHedge Index Flash Update - 12 April 2016

We are pleased to announce the nominees for the Eurekahedge Asian Hedge Fund Awards 2016 which will be taking place at Capella Singapore on 27 May 2016. To acknowledge performers that have yet to be recognised for their efforts, Best ASEAN Fund was added for 2016 - bringing the total to 18 awards this year. Previous additions include Most Consistent Asian-based Fund, Best Asian Billion Dollar Hedge Fund, and Best Female Hedge Fund Manager. View the nominee list here.

Hedge funds recovered part of their losses from earlier in the year and were up 1.15%1 in March as underlying markets represented by the MSCI World Index2 gained 5.47% in what shaped up to be a positive month for global markets. The Fed's decision to roll back further on its scheduled interest rate hikes for 2016, coupled with rising oil prices and monetary easing in China provided much need relief for the markets. As of end-Q1 2016, hedge funds are down 0.52%, ahead of underlying markets as the MSCI World Index posted losses of 1.97%.

Emerging markets mandated managers had a good month as the stabilisation in oil prices and well-performing equity markets in EM countries lent support to managers during the month. Central bank meetings also dominated the news in March, influencing reversals in the markets. Market reversals did not bode well for some CTA/managed futures and macro managers with returns languishing into negative territory during the month as comments made by central bankers led to choppy trading conditions. Policy shots remain a key theme for central bankers as they attempt to jolt the global economy amid a deflationary environment.