Performance: Funds reel but still outperform


It has been a difficult period over the past year for hedge funds globally, particularly those involved in equity, event-driven and convertible strategies, and specifically in Asia and emerging markets.

The overall performance of the industry, as measured by the HedgeFund Intelligence Global Composite index, was not great to the end of August 2008. Nevertheless, average NAVs remained slightly above the level of a year earlier.

This further widened the degree by which hedge funds outperformed the equity markets, with the Global Composite up some 152.42% since the beginning of 1998, as opposed to a gain of only 69.21%