BarclayHedge’s Barclay Hedge Fund Index reports a decrease of 0.64 percent in March as opposed to a year to date loss of 0.07%. The S&P500 Total Return Index also show a 2.54 percent decline and a year to date loss of 0.76 percent.
BarclayHedge founder and president Sol Waksman attributes the decline to trade war fears. The two-month decline in equity prices can be pointed to the US announced tariffs for steel and aluminum. These were likewise countered by China, who released its own tariff hit list.
Only three indices out of the seventeen under Barclay hedge fund were saved from the effect. The Equity Long Bias lost 1.11 percent and the Pacific Rim Equities suffered 1.14 percent. The Event Driven Index also went down by 1.83 percent.
On the other hand, there is a bright light at the end of tunnel in the form of other indices. The Equity Market Neutral Index went up 0.25 percent, Healthcare & Biotechnology increased by 0.35 percent, and the Distressed Security Index saw a rise of 0.70 percent in March.
Seven hedge fund indices have losses three months into 2018, but ten have also enjoyed gains. Emerging Markets rose by 1.24 percent and Distressed Securities by 2.05 percent. Healthcare & Biotechnology increased by 3.73 percent and the Technology index has a 4.03 percent gain.
For the losses, Pacific Rim Equities decreased by 2 percent through March. The Global Macro Index also declined by 1.39 percent and the Event Driven Index suffered a loss of 1.53 percent.
The Barclay Fund of Funds decreased by 0.37 in March. On the other hand, it has maintained a year to date gain of 0.33 percent.