Hedge Funds Up 1.2% in First Half as Trade Jitters Curb Gain

(Bloomberg) -- Hedge funds on average posted a gain of just 1.2 percent in the first half as global trade jitters and volatility hampered investors.

For June, hedge funds fell 0.14 percent on an asset-weighted basis, the third month of declines this year, according to a report Monday by Hedge Fund Research. By contrast, the S&P 500 Index rose about 1.7 percent in the first half and 0.5 percent last month.

Event-driven strategies were the top performer on an asset-weighted basis, returning about 3 percent in the period, HFR said. That was offset by declines in equity hedge funds in June. The performance demonstrates that 2018 is shaping up to be lackluster for the industry. Stock swings have become more pronounced amid uncertainty related to the escalating trade spat between China and the U.S., among other macroeconomic events.

In the first half of 2017, the industry rose 2.7 percent. In June of last year, it lost 0.21 percent.

Here’s a look at how various strategies have performed.

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