Brevan Howard Master Fund Said To Lose -0.9% In September

Oct 6 2017 | 10:27pm ET

The flagship hedge fund at Alan Howard’s London-based alternative investment manager Brevan Howard reportedly lost -0.9% in September, notching its sixth drop so far this year and pulling its year-to-date performance to -4.6%.

In comparison, HFR’s HFRX Macro/CTA Index dropped -1.03% in September and is basically breakeven so far this year. The company’s Master Fund now has approximately $6.8 billion in assets under management, according to a Bloomberg article citing an investor letter.

Many macro hedge funds, which speculate on long-term economic trends using global equity, bond, currency and commodity markets, have struggled to generate returns in a persistently low-volatility environment. Many investors are betting that normalization of interest rates will restore the traditional avenues for such funds to make money, with macro funds raising nearly $18 billion in fresh capital through August, according to eVestment. 

Brevan Howard has seen a massive outflow of assets since hitting a 2013 peak of nearly $28 billion in its main fund and more than $40 billion at the firm as a whole. The Master fund booked a 3% gain in 2016 after losing money in the previous two years. 

In Depth

Q&A: Sancus Capital And The Disruption Of The CLO Market

Oct 5 2017 | 6:28pm ET

Traditional collateralized loan obligation (CLO) funds in the U.S. market can offer...


CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: Is It Time to Consider Reinsurance for a Diversified Hedge Fund Portfolio?

Oct 4 2017 | 6:29pm ET

While most institutional investors understand the uncorrelated, diversification...


From the current issue of