Hedge fund managers ended the month of October up 1.35% on an equal-weighted basis, and up 0.89% on an asset-weighted basis.
Risk assets rallied during the month driven by strong corporate earnings, a continuation of accommodative monetary policy and pick-up in economic activity, despite persistent inflationary pressure.
On a year-to-date basis, global hedge funds were up 9.59% over the first 10 months of 2021, on track to record their second consecutive year of double-digit performance.
Returns were positive across geographic mandates in October with the exception of Latin American hedge funds which were down 3.24%. North American hedge funds were in the lead with a return of 2.31% – followed by European hedge funds which gained 0.64% during the month. Across strategies, all mandates except fixed income were in positive territory.
CTA/Managed future hedge funds outperformed their peers with their 2.34% return, supported by higher commodity prices.