In Preqin Special Report: Hedge Funds in the US, we took a closer look at hedge fund activity in the country, examining the 10 largest states in the industry. The report found that 41% of all hedge funds managed in the top 10 states followed an equity strategy, the largest proportion of all top-level strategies. However, these vehicles are the top performers from H1 2016 in only three of the top 10 states. Massachusetts-based fund manager Apogee Global Advisors generated the highest returns (+134.40%) over this period from its Apogee Gold Fund. The multi-strategy fund aims to generate long-term capital appreciation through investments in the securities of gold and precious metal companies, which has enabled it to exceed Preqin’s Massachusetts state benchmark by 128.39 percentage points.
Data from Preqin’s Hedge Fund Online shows that the top performing hedge funds in five of the 10 states in this report opt for a CTA or macro strategy. Despite being the smallest state in our study, Pennsylvania-based CTA Brandywine Symphony Preferred Fund achieved a return of +64.33% in the first half of 2016, higher than any other CTA or macro strategy hedge fund across all US states examined.