FlowBank

1218 days ago • Posted by Charles-Henry Monchau

The worst year ever for BIG hedge funds. See below chart of HFRI Asset Weighted minus HFRI equally weighted performance.

Asset Weighted hedge fund indices are close to FLAT for this year to November vs. double-digit returns for equities and greater than 5% return for bonds globally. This means that hedge funds collectively delivered this year their WORST ALPHA at least since our history began in 2011. This poor performance appears to be driven by the bigger funds. 2020 represents the worst year since records began in 2005 in terms of the underperformance of big hedge funds relative to the smaller ones. Chart BELOW shows HFRI Asset Weighted minus HFRI Equally Weighted hedge fund index return. Source: The Market Ear, HFRI

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HFRI Asset Weighted minus HFRI Equally Weighted hedge fund index return
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