Steve Marcus/Reuters
Hedge Fund Research (HFR) President Kenneth J. Heinz participates in a panel discussion during a Las Vegas conference Wednesday that brought together public policy officials, capital allocators, and hedge fund managers to discuss financial markets. After its best first-quarter performance since 2006, the hedge fund industry lost ground in April.

Hedge funds: Money rolls in after stellar quarter

Hedge funds' inflow in April was nearly five times the rate in March but lower than the amount of investment hedge funds attracted a year ago.

Investors grappling with volatile financial markets upped their bets on hedge funds over the past month, data from hedge fund administrator GlobeOp shows, indicating renewed confidence in their abilities to cash in on turbulent asset pricing.

Net inflows into hedge funds, as measured by the GlobeOp Capital Movement Index, which tracks monthly net subscriptions to and redemptions from funds managing around $187 billion in assets, rose to 1.24 percent of that total during the month to May 1.

This cash injection was almost five times the previous month's 0.27 percent inflow but significantly lower than the 2.41 percent net inflow seen a year ago and the 2.02 percent and 2.2 percent net inflows recorded in March and February respectively.

Hedge funds lost an average 5.2 percent last year, according to Hedge Fund Research (HFR), after the crisis in the euro zone and worries of a global recession rattled investors and punished all but the most bearish of strategies.

Requests to pull money out of hedge funds dropped on a monthly basis to 2 percent in April, from 3.23 percent in March as more investors backed long-short managers to successfully navigate the latest burst of market volatility.

After achieving its best first-quarter performance since 2006, the hedge fund industry lost some ground in April, as shown by a 0.36 percent drop in HFR's HFRI Fund Weighted Composite Index.

However, the sector still outperformed the Standard & Poor's 500 Index, which fell 0.8 percent in April.

You've read  of  free articles. Subscribe to continue.

Dear Reader,

About a year ago, I happened upon this statement about the Monitor in the Harvard Business Review – under the charming heading of “do things that don’t interest you”:

“Many things that end up” being meaningful, writes social scientist Joseph Grenny, “have come from conference workshops, articles, or online videos that began as a chore and ended with an insight. My work in Kenya, for example, was heavily influenced by a Christian Science Monitor article I had forced myself to read 10 years earlier. Sometimes, we call things ‘boring’ simply because they lie outside the box we are currently in.”

If you were to come up with a punchline to a joke about the Monitor, that would probably be it. We’re seen as being global, fair, insightful, and perhaps a bit too earnest. We’re the bran muffin of journalism.

But you know what? We change lives. And I’m going to argue that we change lives precisely because we force open that too-small box that most human beings think they live in.

The Monitor is a peculiar little publication that’s hard for the world to figure out. We’re run by a church, but we’re not only for church members and we’re not about converting people. We’re known as being fair even as the world becomes as polarized as at any time since the newspaper’s founding in 1908.

We have a mission beyond circulation, we want to bridge divides. We’re about kicking down the door of thought everywhere and saying, “You are bigger and more capable than you realize. And we can prove it.”

If you’re looking for bran muffin journalism, you can subscribe to the Monitor for $15. You’ll get the Monitor Weekly magazine, the Monitor Daily email, and unlimited access to

QR Code to Hedge funds: Money rolls in after stellar quarter
Read this article in
QR Code to Subscription page
Start your subscription today