Gains From Emerging Markets Hedge Funds Increase

Emerging markets hedge funds posted gains through early 2013 despite declines in many regional equity markets, said Hedge Fund Research.
HFR said these funds benefitted from sophisticated equity and credit hedging strategies and tactical exposure to powerful trends in currency and commodity markets.
Total capital invested in Emerging Markets (EM) hedge funds increased to over $151 billion (927 billion Chinese RMB, 4.7 trillion Russian Ruble, 306 billion Brazil Real, 8.2 trillion Indian Rupee and 566 billion Saudi Riyal) as investors allocated $1.8 billion in new capital in the first quarter of 2013, according to the latest HFR Emerging Markets Hedge Fund Industry Report, published by HFR. This followed $3 billion of new capital allocated to EM hedge funds in 4Q 2012.
Meanwhile, SS&C GlobeOp’s Forward Redemption Indicator for May 2013 measured 3.77%, up from 2.95% in April. The indicator represents the sum of forward redemption notices received from investors in hedge funds administered by SS&C GlobeOp.
Redemption requests are in line with historical averages for the month of May, said SS&C GlobeOp. SS&C GlobeOp’s data on the GlobeOp platform represents approximately 10% of the hedge fund industry.
The SS&C GlobeOp Forward Redemption Indicator represents the sum of forward redemption notices received from investors in hedge funds administered by SS&C GlobeOp on the GlobeOp platform, divided by the assets under administration at the beginning of the month for SS&C GlobeOp fund administrationclients on the GlobeOp platform.
Forward redemptions as a percentage of SS&C GlobeOp’s assets under administration on the GlobeOp platform have trended significantly lower since reaching a high of 19.27% in November 2008.
The indicator is published on the 15th business day of the month.