The Coronation Multi-Strategy Arbitrage Fund took the prestigious Fund of the Year award at the eighth annual HedgeNews Africa Awards, presented at a gala dinner at the Vineyard Hotel in Cape Town last night (February 16).
The Coronation Multi-Strategy Arbitrage Fund also won the award for the best South African multi-strategy fund, returning 30.42% with a Sharpe ratio of 6.25.
In the South African equities category, the Ashburton Dynamic Equity Hedge Fund took the trophy, returning 15.12% on a Sharpe ratio of 1.07 in a tough year for equity long/short funds globally and during which the JSE All Share Index added just 2.6% on a total return basis.
Amongst South African market-neutral and quantitative funds, the Abax Bao NCIS Market Neutral RIF was a clear leader, with a stellar gain of 20.97% on a Sharpe ratio of 3.45.
The winner amongst South African fixed income hedge funds was Nautilus AcuityOne RHF, with a 12-month return of 19.67% on a Sharpe of 2.23.
In specialist strategies there were two winners from different strategy areas – the Chrysalis Credit Arbitrage Fund (return 11.54%, Sharpe 10.09) and the Westbrooke Capital Management Special Opportunities Fund (return 11.01%, Sharpe 0.7).
Amongst pan Africa portfolios, the Sustainable Capital Africa Alpha Fund was a clear leader, gaining 49.52% on a Sharpe ratio of 1.7.
The Fund of Hedge Funds – Multi-Strategy award went to Investment Solutions Caveo Stable QI HFoF (return 8.51%, Sharpe 0.89) while the Fund of Hedge Funds – Fixed Income trophy was awarded to Edge RCIS Picador Fixed Income QI Hedge Fund (return 12.23%, Sharpe 2.89).
The New Fund of the Year award, which looks at funds launched within the past 12-23 months, went to the Peregrine Capital Flexible Yield H4 QI Hedge Fund (return 20.41%, Sharpe 1.17).
The Long-Term Awards, judged over three and five years, also brought an impressive array of contenders, with the three-year single-manager trophy going to Corion Prosperitas NCIS RIF Hedge Fund (annualised return 19.49%, annualised Sharpe 2.24) and the five-year single-manager trophy going to Peregrine Capital High Growth H4 QI Hedge Fund (annualised return 25.59%, annualised Sharpe 2.57).
Amongst fund of funds, the winner of the three-year award was Edge RCIS Matador II QI Hedge Fund (annualised return 9.3%, annualised Sharpe 0.75), while Old Mutual Multi-Managers Long Short Equity FoHF was the victor over five years (annualised return 13.83%, Sharpe1.49).
In total, 60 nominations were given across 14 categories, with multiple nominations for 2016 performance across strategy areas going to Acanthin, Corion Capital, Coronation Fund Managers, Fairtree Capital, Edge Capital, Old Mutual, Novare, Peregrine Capital, Polar Star Management and X-Chequer Fund Management.
The awards recognise the best risk-adjusted returns of alternative strategies and hedge funds in South Africa and the broader Africa region each calendar year, based on an established methodology and independently verified data submitted to the HedgeNews Africa database, the region’s leading independent publisher focused on the hedge fund and alternative asset management industries.
“The winners of this 2016 HedgeNews Africa Awards have again demonstrated that alternative strategies have an important role to play in investor portfolios, with skilled fund managers delivering strong risk-adjusted returns in a year where fund managers were repeatedly challenged by unpredictable global outcomes that affected the markets and unsettled investors,” said Gwyneth Roberts, editor of HedgeNews Africa. “The South African hedge fund market in particular is at an exciting juncture as regulated retail and qualified funds become available to a broader range of investors looking for capital growth and protection.”
Attended by the industry’s leading fund managers and investors, the annual awards are hosted in partnership with leading service providers to the industry, namely Investec Prime Broking, RMB Prime Broking, Absa Capital, Deutsche Bank, Peregrine Securities and SANNE.