Hedge funds in general seem to be having a much better year this year. Interestingly, the first quarter looked somewhat similar to what we have seen in the last few years in terms of sector and factor favorites.
By some accounts, the hedge fund industry had its best first quarter since the Global Financial Crisis. The Eurekahedge Hedge Fund Index was up 1.06% for March and 4.36% for the first quarter, making it the best first quarter since the financial crisis. The HFRI FWI index was up 5.9% for the first quarter, beating Eurekahedge.
Markets and hedge funds are going strong
In their monthly “CIO Hedge Funds” report, UBS analysts Karim Cherif and Georg Weidlich said other than macro/ trading hedge funds, most posted positive returns for the first quarter.
They also noted other positive signs in the market which have been great for hedge funds.