|April 2, 2013|
'Alternative Alternatives' investment strategies experienced losses in February, according to an estimation based on 623 single- and multi-manager funds currently listed in 25 categories in the Opalesque Solutions A SQUARE Fund Database (Source).
After starting the year 2013 with significant gains, the Opalesque A SQUARE Index declined 0.52% in its second month, resulting in a year-to-date performance of +0.48%. Estimates for January and December were corrected to +1.01% and +0.58%, respectively. The A SQUARE Funds of Funds Index lost 0.28% in February and is up 0.81% in 2013.
A SQUARE database weighting by asset classes
Due to the difficult commodity market environment, A SQUARE funds performed worse than both hedge funds and the global stock market: The Eurekahedge Hedge Fund Index gained 0.19% in February (+2.30% YTD), while the MSCI World Index was up 0.22% (+5.35% YTD).
12-month rolling equity market correlation of A SQUARE Index funds significantly declined to 51%, compared to 80% for the Eurekahedge Hedge Fund Index. As a result, Opalesque calculated stock market betas of 15% for the A SQUARE Index and 22% for the Eurekahedge Hedge Fund Index.
Florian Guldner, Opalesque Research