South African hedge funds had a tumultuous year but ended in positive territory, with a median gain of more than 5% versus just over 2% from the main South African equity index.
The HedgeNews Africa South African Single Manager Composite added a median 5.27% in 2016, in a volatile year that saw the JSE All Share Index return 2.63% on a total return basis while South Africa’s All Bond Index gained 15.45%.
All South African hedge fund strategies were positive in December, with the best return coming from multi-strategy funds, followed by event-driven and long/short equity strategies.
For the year, event-driven, fixed income and multi-strategy each added more than 10%, while equity strategies had a tougher time. Copyright. HedgeNews Africa – January 2017.
| Median | Mean | |||
| South African Medians | Dec-16 | 2016 | Dec-16 | 2016 |
| Long/Short Equity | 1.10% | -2.04% | 0.90% | -2.55% |
| Market Neutral & Quantitative Strategies | 0.65% | 2.49% | 0.22% | 0.68% |
| Single Manager Multi-Strategy | 1.48% | 10.21% | 1.86% | 10.77% |
| Fixed Income | 0.78% | 10.61% | 0.85% | 11.99% |
| Event Driven | 1.13% | 13.25% | 1.15% | 12.73% |
| African Medians | ||||
| Pan-Africa / AME | 1.16% | -6.54% | 1.24% | -6.20% |
| SA Single-Manager Composite | 1.03% | 5.27% | 1.01% | 3.53% |
| HedgeNews Africa Single-Manager Composite | 1.02% | 3.25% | 1.02% | 1.48% |