South African hedge funds ended the year on a positive note with all strategies delivering positive median returns in December, while the HedgeNews Africa South African Single-Manager Composite added a median 0.8% for the month to end the year 5.18% higher. This compares to the FTSE/JSE All Share Index’s December gain of 4.25% and 2018 performance of -8.53%, while the All Bond Index added 0.64% in December to leave it 7.69% higher on the year.
The HedgeNews Africa Single-Manager Composite, which includes Africa- and global-focused portfolios, gained a median 0.55% for the month to record a 2018 gain of 2.1% with many African markets in the red for the year.
Multi-strategy funds led the way in December, gaining a median 1.4% to record a return of 4.14% for the year.
After three consecutive negative months, long/short funds delivered a median 0.76% in December to sit 1.79% lower for the year.
Market-neutral funds were steady in December, returning a median 0.68% and a 2018 gain of 6.18%.
Fixed income hedge funds had another good year, gaining 10.73% after adding a median 0.64% in December. Copyright. HedgeNews Africa – January 2019.
| Median | Mean | |||
| South African Medians | Dec-18 | YTD-2018 | Dec-18 | YTD-2018 |
| Long/Short Equity | 0.76% | -1.79% | 0.84% | -1.70% |
| Market Neutral & Quantitative Strategies | 0.68% | 6.18% | 0.70% | 6.50% |
| Single Manager Multi-Strategy | 1.40% | 4.14% | 0.86% | 0.34% |
| Fixed Income | 0.64% | 10.73% | 0.99% | 10.60% |
| Event Driven (credit) | 1.36% | 13.51% | 1.36% | 12.26% |
| African Medians | ||||
| Pan-Africa / AME | -0.61% | -8.85% | -0.84% | -9.70% |
| SA Single-Manager Composite | 0.80% | 5.18% | 0.89% | 2.43% |
| HedgeNews Africa Single-Manager Composite | 0.55% | 2.10% | 0.65% | -0.49% |