The Hedge Fund Index’s return was helped by solid return in Managed Futures (6.89%) and Long/Short Equity (1.75%). Other strong gainers were Emerging Markets (1.39%), Global Macro (1.19%) and Event Driven (0.95%), according to data released by CSFB/Tremont.
Index components were unanimously on the positive side. Other return figures included:
- Fixed Income Arbitrage (0.87%)
- Equity Market Neutral (0.79%)
- Multi-Strategy (0.39%)
- Dedicated Short Bias (0.34%).
“Despite anticipation of a slowing equity market, the long short equity sector posted solid returns for the month, and all ten sectors of the Index contributed with positive performance, bringing the Index up 3.13% year-to-date,”Robert Schulman, Co-Chief Executive Officer of Tremont Capital Management, Inc, said in a news release.
Performance for the CSFB/Tremont Hedge Fund Index and the 10 style-based sector indices is calculated monthly. February, January and year-to-date returns for all categories are listed at www.hedgeindex.com .
Similar to the composite index, leading the gainers in the Investable Index was Managed Futures, up 7.34% and Long/Short Equity 2.63% higher in February. February’s 1.14% estimated return was slightly below the 1.25% confirmed performance for January (See Hedge Fund, Investable Indices Start ’04 Higher ). Other gains were notched by:
- Dedicated Short Bias (1.28%)
- Global Macro (0.59%)
- Emerging Markets (0.33%)
- Fixed Income Arbitrage (0.22%).
Not faring so well in the Investable Index was Multi-Strategy, Event Driven and Equity Market Neutral. These strategies were down 0.57%, 0.20% and 0.04%, respectively, in February.
The CSFB/Tremont Investable Hedge Fund Index is designed to give investors broad exposure to hedge funds as an asset class. The index covers $240 billion in assets managed by 414 funds as of February 1, 2004.