Based on that return, January would be the fourth straight month of gains for hedge funds. And, if those estimates hold up, it would be the eighteenth month in the last two years that hedge funds have outperformed the S&P 500, according to Van Hedge.
Over half of the hedge funds reporting so far were profitable last month, and over three-quarters beat the S&P 500, according to the report.
Short Selling hedge funds were among the most successful in January as the ongoing Enron scandal spooked investors.
Final January results for the Van Hedge Fund Indices, detailing the average performance for U.S., Offshore and Global hedge funds, by strategy, should be released later this month.