Preqin Quarterly Update: Hedge Funds, Q1 2016
Following a difficult second half of 2015, when the sector saw losses of -2.50%, the first two months of 2016 were disappointing for many in the hedge fund industry; even a return of 2.66% in March failed to bring the benchmark into positive territory in Q1 2016. However, CTAs and macro strategies funds had a largely successful start to the year, and it appears fund managers are increasingly seeing the value in launching macro funds: 9% of all hedge funds launched in the quarter pursue a macro strategy. March, however, brought with it a change in fortune for CTAs and macro strategies as they moved from the top to the bottom of the performance spectrum, where other strategies made gains. Despite a changeable returns environment, Q1 2016 saw an uptick in the launch activity of funds of hedge funds.