Hedge Funds outperformed by Major Indices in March
|April 13th, 2010||
|Hennessee Group has released its latest data for March of 2010. According to its press release, the Hennessee Hedge Fund Index advanced +3.05% last month, falling behind the S&P 500 (+5.88%), the Dow Jones Industrial Average (+5.15%) and the NASDAQ Composite Index (+7.14%). Managing Principle of Hennessee Group Lee Hennessee commented, “Hedge funds posted a strong, positive month in March, but underperformed the sharply rising equity markets due to conservative positioning and difficulty shorting.”|
The Long/Short Equity Index gained +3.07% last month as equity markets “continued to move higher in March, erasing losses from earlier in the year and leading to broad based gains for most major market indices in the first quarter.” The group’s findings conclude that all ten sectors earned positive gains, with industrials and financials at the top. The press release, however, predicts that “long/short equity funds will remain cautious with lower net exposures while emphasizing individual security as the primary alpha generator in 2010” in light of the near-term uncertainty.