Hedge funds enjoy January performance boost -SS&C

LONDON Wed Feb 12, 2014 4:00pm EST

LONDON Feb 12 (Reuters) - Hedge fund returns grew 1.39 percent in January, recovering from December's four-month low and outperforming many leading developed market stock indexes, the SS&C Hedge Fund Performance Index showed.

Funds also saw money trickle back in February, with SS&C's separate GlobeOp Capital Movement Index, which calculates monthly hedge fund subscriptions less redemptions, rising 0.94 percent, the financial software firm said in a statement.

"Net flows were positive for the month, with subscriptions outpacing redemptions by two to one," said Bill Stone, Chairman and Chief Executive Officer, SS&C Technologies.

The flight to equities came as fund managers earned gross returns of 10.96 percent in the last 12 months. That contrasts with a 12.5 percent gain for the MSCI World Index and a rise of nearly 30 percent for the Standard & Poor's 500 in 2013.

Since the start of the year, however, the case for equities has been undermined as markets were hit by turmoil in emerging markets, with the MSCI World Index falling 1.8 percent.

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

California state worker Albert Jagow (L) goes over his retirement options with Calpers Retirement Program Specialist JeanAnn Kirkpatrick at the Calpers regional office in Sacramento, California October 21, 2009. Calpers, the largest U.S. public pension fund, manages retirement benefits for more than 1.6 million people, with assets comparable in value to the entire GDP of Israel. The Calpers investment portfolio had a historic drop in value, going from a peak of $250 billion in the fall of 2007 to $167 billion in March 2009, a loss of about a third during that period. It is now around $200 billion. REUTERS/Max Whittaker   (UNITED STATES) - RTXPWOZ

How to get out of debt

Financial adviser Eric Brotman offers strategies for cutting debt from student loans and elder care -- and how to avoid money woes in the first place.  Video