Hedge Fund AUM Increases $100 Billion Despite Underperformance

Long-only hedge funds outperformed in October, while distressed debt strategies underperformed, and asset flows have increased assets under management by $100 billion so far this year, according to research from Eurekahedge.

“US related news dominated global markets for most of the month starting with the 16 day partial shutdown of the government,” reads the Eurekahedge report. “The shutdown was ended mid-month, which saw equities gain traction. Positive macroeconomic data throughout the month as well as the expectation that the US Federal Reserve will postpone tapering, added further impetus to global markets.”

Hedge funds performance for October

The Eurekahedge Hedge Fund Index was up 1.40%, compared to...