NEW YORK (Reuters) – Global hedge funds posted a 2 percent gain in October, helped by a rebound in stocks and rising inflation and interest rates, data provider HFR said in a statement on Monday.
Equity, event-driven and macro hedge fund indices rose last month, with two-thirds of all hedge funds posting gains, according to HFR data.
However, only macro hedge funds were in 2022 first months for Investors delivered positive returns).
“Macro strategy continued its strong year-to-date performance as stocks reversed month-to-month losses and the Fed prepared to raise rates to slow generational inflation, Performance was dominated by multiple-strategy and commodity-focused exposures,” HFR said.
In October, the macro fund rose 0.95%, raising its full-year return to .51%.
Event-driven hedge funds surged 3.7% in October, hitting a record high and returning across all categories. HFR said exposure to distressed assets, activism and exceptional circumstances drove the performance. Still, they are down 4.31% this year.
Equity hedge fund rose 2.28%, recording its first gain since August and this year Highest monthly return ever. During the year, they are still negative 28.28%.
” HFR President Kenneth J. Heinz said hedge funds started the fourth quarter higher as funds made opportunistic adjustments amid political uncertainty and inflation- and interest-rate-driven volatility, with returns spread between directional strategies and uncorrelated within the scope of the policy.