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Biggest Hedge Fund Losers Down More In 2017 Than 2016

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Mark Melin
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There is a noticeable ratio differential occurring on the HSBC Hedge Weekly performance list. Hedge funds on the losing end of the scale are more pronounced on a year over year basis, with the Worst drawdown fat left tail nearly 20% larger. With hedge funds reporting the best performance since January, according to data from Hedge Fund Research, what’s going on?

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Worst drawdown

Worst Drawdown by category - Energy funds are 1 & 2 losers in 2017 year to date after 1 & 2 winners in 2016

The top five hedge funds in the HSBC performance rankings are down, on average, -32.19% on the year, which is near a 6.44% negative differential...

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Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.