Hedge Fund Correlation with a 60/40 Portfolio Correlations between hedge funds and 60/40 portfolios are sometimes high and at other times low. In general, hedge funds can play a role in risk reduction. Image: J.P. Morgan Asset Management
S&P 500 Total Return vs. BarclayHedge Hedge Fund Index Hedge funds have underperformed the S&P 500 over the past decade, but volatility has been lower. Image: The Daily Shot – The Wall Street Journal, Bloomberg
S&P 500 Hedge Fund Long Positioning Speculative long positions in the S&P 500 are near levels that have marked major bottoms in the past. Image: Macro Ops
Hedge Fund Equity Exposure Great chart showing that hedge funds’ equity exposure is near their lowest since the global financial crisis. Image: J.P. Morgan
Hedge Fund Gross and Net Leverage Despite the trade war, hedge fund leverage remains high, compared to the average level of the last five years (aggregated data from Goldman Sachs Prime Services, as of August 19, 2019; should not be relied upon as a comprehensive view of the market). Image: Goldman Sachs Global Investment Research
Hedge Fund Portfolio Density and Turnover Hedge fund portfolio density has steadly increased, and fund turnover has declined over the past decade. High concentration risk can lead to high losses and affect the financial system. Image: Goldman Sachs
Survey: What Is The Most Effective Risk-Off Hedge? In the latest BofA Merrill Lynch edition of the FX and rates sentiment survey, a majority of respondents preferred 10-year Treasuries as the most effective risk-off hedge. Only 6% of respondents chose gold and the yen. Image: BofA Merrill Lynch
U.S. Bond Market Hedged and Unhedged Investors are frantically searching for yield, knowing that 25% of all bonds in the world trade at negative interest rates. Our world is aging with high levels of debt and low interest rates (maybe for a long time). Image: Fidelity Investments
S&P 500 and Hedge Fund Exposure While the S&P 500 is at all-time high, hedge funds increase their exposure to equities (last = 0.52). Image: Sentimentrader
Performance of Hedge Fund Index vs. S&P 500 Hedge fund returns have not been as good as those of the S&P 500, but volatility has been lower. Image: Richardson GMP