Hedge Funds Rebound In September

by Carla Johnson, Investors Offshore.com

12 October 2007

The Greenwich Global Hedge Fund Index, one of the world's largest hedge fund databases, made a strong recovery in September, rising 2.97% after posting the year’s first negative return of -1.64% in August, Greenwich Alternative Investments has announced.

The GGHFI year-to-date return of 9.5% trails the MSCI World Equity Index, but remains ahead of the S&P 500 and FTSE 100, with returns of 10.11%, 9.13%, and 3.96, respectively.

All four Strategy Groups posted their highest monthly return of the year. The Specialty Strategies Group continued to maintain its performance lead so far for the year, up 14.56% YTD, after returning a very strong 3.48% return in September. The Long/Short Equity Group moved up 3.18% for the month, and has now posted a double digit return of 10.43% YTD.

The Directional Trading Group made the biggest comeback among the four Strategy Groups in September, returning 4.15% after being down -2.60% in August. The Market Neutral Group also performed quite well, posting 1.59%, its best month since January 2006. All 18 individual strategies tracked by the GGHFI, with the exception of short sellers, were positive in September - all are positive year-to-date.

Thus far, the September Index includes 1,032 funds. Final Index results will be submitted by Greenwich Alternative Investments in Early November once additional funds have submitted returns.

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