Aurum

Aurum’s Q3 2024 hedge fund industry deep dive is now available. The report provides insights on:       • industry, strategy and sub-strategy performance       • performance dispersion       • asset flows       • comparison between alt UCITS and hedge fund returns. Hedge funds generated positive performance during Q3, but underperformed both bonds and equities. Strategies that typically have a higher beta to equities were the top performers. Industry AUM grew over the quarter with positive P&L offsetting net outflows. The link for the full Q3 2024 report is in the comments. #hedgefunds #investments #assetmanagement #performanceanalysis #markettrends #industryinsights

Hedge fund performance was generally positive in September amidst a backdrop of mixed performance in global equities and falling government bond yields. All hedge fund strategies had positive performance. The strongest performing strategy was long biased. Hedge fund performance dispersion was broader than that observed in August. https://bit.ly/3Yd0Ah4 #hedgefunds #investments #assetmanagement

Aurum’s commingled and bespoke fund of hedge funds $US classes delivered positive returns over Q3 2024, with performance ranging from +0.5% to +2.0%. Macro and multi-strategy funds were the main contributors to performance, while systematic and event driven strategies were more modest contributors to performance. Equity strategies detracted from performance in funds with an allocation to the strategy. Interest rate decisions, geopolitical tensions and inflation data releases caused volatility across the quarter. To read our full review of the third quarter, including strategy performance and the drivers of returns, see the link in the comments. #hedgefunds #investments #assetmanagement

Hedge fund performance by strategy, 2015 to latest September 2024 data now available and updated daily https://bit.ly/3codWOo #hedgefunds #assetmanagement #investing

Closing the ESG framework gap With the ever-growing alphabet soup of ESG frameworks, how should we approach ESG reporting? And how can alternative investment managers and investors make the most of their resources? One of the panels at Aurum Funds Limited’s recent ESG Symposium addressed these key questions, starting with an evaluation of the current ESG framework landscape, its future evolution, and practical steps alternative investment managers can take moving forward. You can read the output from their discussions here: https://bit.ly/47Z2GWo #esg #sustainability #esgdiscussion #esgframeworks

Hedge fund industry performance is up 7.34% net to end August 2024. But, which strategies are the winners and losers and why? Aurum demystifies some of the most talked about hedge fund strategies in their range of primers on multi-strategy, quant, macro and event. https://bit.ly/3XQPKwP #hedgefunds #hedgefundstrategies #quant #macro #event #multistrategy

Hedge fund performance was generally positive in August amidst a backdrop of volatility in equities earlier in the month, followed by a strong recovery. Most hedge fund strategies had positive performance, with the exception of quant. The average asset weighted hedge fund net return across all strategies was 0.42%. The strongest performing strategy was long biased. Hedge fund performance dispersion was narrower than that observed in July. https://bit.ly/4ehjJVX #hedgefunds #investments #assetmanagement

Event hedge fund primer: alpha from corporate catalysts Despite underperforming the broader hedge fund composite in H1 2024, event driven hedge funds have outperformed the hedge fund composite over the five and ten years to Jun-24*. Event driven hedge fund strategies capitalise on investment opportunities that arise from corporate events. The performance of an event driven manager depends on their ability to predict the outcome of corporate events accurately and to successfully manage the associated risks. In the next in Aurum’s series of hedge fund strategy primers, we explore event driven strategies in more detail, looking at: 🞄 the corporate events which event driven funds capitalise upon, 🞄 different event driven sub-strategies, 🞄 sample trades, 🞄 and how event driven funds perform in different market environments. Whether you're an experienced investor or new to hedge fund strategies, this piece provides valuable insights into how event driven funds work and the role that they can play in investors’ portfolios. Read the full primer here: https://bit.ly/3zc26aD *Source: Hedge fund industry performance deep dive – H1 2024. Aurum Hedge Fund Data Engine asset weighted average net returns. #hedgefunds #investments #assetmanagement #eventdriven

Hedge fund performance by strategy, 2015 to latest August 2024 data now available and updated daily: https://bit.ly/3codWOo #hedgefunds #assetmanagement #investing

Event hedge fund performance analytics H1 2024 - Insights for hedge fund investors While according to Aurum Hedge Fund Data Engine event hedge funds have outperformed the industry average in July, they ranked sixth out of the eight master fund strategy classifications in the first half of 2024. All underlying event sub-strategies delivered positive returns across the first half, but all underperformed equities and the hedge fund composite. The strongest performing sub-strategy was event – activist and the weakest, event – M&A. In aggregate, the event strategy’s returns correlated highly with prevailing equity markets. The event – M&A sub-strategy (as well as any other event strategies or multi-strategy funds that heavily incorporated M&A) struggled in H1 2024. There were a number of large, widely-held merger deals that collapsed, or were mired in regulatory or political difficulties, which hurt many funds across the event space (and some multi-strategy funds). April was a particularly difficult month. Reviewing the alpha/beta decomposition suggests that event – M&A has had a majority of returns attributable to the risk-free rate, with a sizeable portion from ‘alpha’ and only a small ‘beta’ element. Event – multi funds exhibit an even higher proportion attributable to alpha, in line with the relatively high long-term Sharpe ratio the strategy exhibits as indicated above. Find out more in the full analytics pack, link in comments, and keep an eye on our hedge fund strategy primer series, link also in comments below, for the next primer on event coming soon.