Just hedge funds and the blues. Or hedge funds got the blues in 2021.
2021 saw the S&P 500 index generate a return of 28.7%. Much of it thanks to The Federal Reserve “stimulypto” or excessive monetary easing.
But only three hedge funds beat the S&P 500 index: Senvest, Impala and SR. Thanks to fees (trading and management), the other hedge funds underperformed the S&P 500 index. And underperformed The Fed!
Melvin Capital was the worst performing hedge fund of the ones examined.
Yes, hedge funds had the blues in 2021 with only 3 hedge funds beating the S&P 500 index.
Welcome to 2022!!