Hedge Funds Generate Positive Returns in February.Index up +0.61% in February GREENWICH, Conn. -- The Greenwich Global Hedge Fund hedge fund, in finance, a highly speculative, largely unregulated investment device. Originating in the 1950s, the funds "hedge" by offsetting "short" positions (borrowing a security and then selling it at a higher price before repaying the lender) against "long" Index (the "Index") returned +0.61% in February, according to hedge fund index provider Greenwich Alternative Investments, LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control . The Greenwich Investable Hedge Fund Index closely tracked the Global Index, returning +0.45% in February and +1.79% year-to-date -- within two basis points of the Global Index return of +1.81% for the year. By comparison, both Greenwich Hedge Fund Indices are ahead of the major equity and bond indices for 2007: S&P 500, MSCI World Equity Index, and the FTSE FTSE A company that specializes in index calculation. Although not part of a stock exchange, co-owners include the London Stock Exchange and the Financial Times. Notes: The FTSE is similar to Standard & Poor's in the United States. 100 posted returns of -1.96% (-0.48% YTD See Year-to-date. YTD See year to date (YTD). ), -0.65% (+0.46% YTD), and -0.51% (-0.79% YTD), while the Lehman Aggregate Bond Index Lehman Aggregate Bond Index An index used by bond funds as a benchmark to measure their relative performance. The index comprises government securities, mortgage-backed securities, asset-backed securities and corporate securities to simulate the universe of bonds in the market. posted +1.54% (+1.50% YTD). Performance was positive across 12 of the 13 hedge fund strategies followed by the Global Index, with 96% of reporting funds outperforming the S&P 500. "Long-biased managers were able to mitigate the effects of February's declining equities to end the month in positive territory," notes Ben Rossman, General Manager. "Hedge funds' downside protection, coupled with their ability to capture market upside, continues to translate into superior risk-adjusted returns. During the last five years the Greenwich Global Hedge Fund Index has produced annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. returns of +9.54% with a maximum drawdown Drawdown The peak to trough decline during a specific record period of an investment or fund. It is usually quoted as the percentage between the peak to the trough. Notes: of -4.55% -- outperforming the S&P 500, MSCI World Equity Index, and FTSE 100 which have had respective annualized returns of +6.81%, +9.13%, and +3.88%, with more severe drawdowns of -20.15%, -17.24%, and -29.40%." About Greenwich Alternative Investments Greenwich Alternative Investments, LLC (and its affiliates) manages one of the world's largest hedge fund databases and is among the oldest providers of hedge fund indices, asset management services and research to institutional investors worldwide. Further information is available at www.greenwichai.com. Accuracy of information reported by managers is not necessarily audited or independently verified and may not represent all hedge funds. Index returns represent simple averages of fund performance, net of underlying fees, the timing of which may affect reported performance. Past results are not indicative of future performance. |
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