All six hedge fund strategies covered by Dow Jones Hedge Fund Indexes posted net-of-fees gains in April 2006.
Equity long/short led the way in April with a net-of-fee gain of 1.78% and continues to be the top performer on a YTD basis with a net-of-fee gain of 7.55%.
Three other strategies returned more than 1% this month: Distressed securities gained 1.59%; event driven was up 1.38%; and merger arbitrage increased by 1.14%.
Convertible arbitrage and equity market neutral had similar performances returning 0.59% and 0.58%, respectively, in April.
A third of the way into the year, five of the six strategies are up by more 4% in 2006, except for equity market neutral, which is up by 2.42%.
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|
2006 Performance (net of fees) |
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|
DJHFSB |
April 2006 |
1st quarter |
YTD |
|
Convertible Arbitrage |
0.59% |
3.46% |
4.07% |
|
Distressed Securities |
1.59% |
3.46% |
5.11% |
|
Equity Long/Short |
1.78% |
5.67% |
7.55% |
|
Equity Market Neutral |
0.58% |
1.83% |
2.42% |
|
Event Driven |
1.38% |
4.08% |
5.52% |
|
Merger Arbitrage |
1.14% |
3.28% |
4.46% |
|
|
|
|
|
|
Dow Jones Wilshire 5000 (Float) |
1.11% |
5.44% |
6.61% |
|
Dow Jones World TMI |
3.23% |
7.32% |
10.78% |
|
Dow Jones Corporate Bond Index |
-0.50% |
-1.15% |
-1.65% |
On a float-adjusted basis, the Dow Jones Wilshire 5000, a broad measure of the domestic equity markets, gained 1.11% in April increasing its YTD performance to 6.61% (on a full-cap basis, it gained 1.06%, increasing its YTD performance to 6.65%).
The fixed income asset class as measured by the Dow Jones Corporate Bond Index returned -0.50% this month. This combined with a first quarter return of
-1.15% puts the index down -1.65% for the year.
The world equity markets, as measured by the Dow Jones World Total Market Index, were up 3.23% in April and reached a double-digit gain of 10.78% for the year.
