According to the Barclay Hedge Fund Index, compiled by BarclayHedge, hedge funds gained 2.11% in September with the index up by 7.30% year to date.
Sol Waksman, founder and president of BarclayHedge stated that the “Fed’s decision to delay tapering surprised investors and drove equity prices higher through mid-month.” Further, “Fears over the possible failure of the US budget and debt ceiling negotiations gained momentum and equity markets sold off in the second half of September, but equities remained profitable on the month as measured by a gain of 5.0 percent for the MSCI World Index.”
Out of Barclay’s 18 hedge fund indices, all but one had gains in September. The Barclay Healthcare and Biotechnology Index jumped 4.26%, Equity Bias gained 3.65% and the Technology Index is up 3.35%. Waksman believes that the top performing Healthcare and Biotechnology indices have been successful due to the “passage of the Affordable Care Act…coupled with the expectation of greater demand for healthcare services due to increases in both population and life expectancy…”