Equity long/short led the way in April with a net-of-fee gain of 1.78% and continues to be the top performer on a YTD basis with a net-of-fee gain of 7.55%.
Three other strategies returned more than 1% this month: Distressed securities gained 1.59%; event driven was up 1.38%; and merger arbitrage increased by 1.14%.
Convertible arbitrage and equity market neutral had similar performances returning 0.59% and 0.58%, respectively, in April.
A third of the way into the year, five of the six strategies are up by more 4% in 2006, except for equity market neutral, which is up by 2.42%.
| 2006 Performance (net of fees) | |||
| DJHFSB | April 2006 | 1st quarter | YTD |
| Convertible Arbitrage | 0.59% | 3.46% | 4.07% |
| Distressed Securities | 1.59% | 3.46% | 5.11% |
| Equity Long/Short | 1.78% | 5.67% | 7.55% |
| Equity Market Neutral | 0.58% | 1.83% | 2.42% |
| Event Driven | 1.38% | 4.08% | 5.52% |
| Merger Arbitrage | 1.14% | 3.28% | 4.46% |
| Dow Jones Wilshire 5000 (Float) | 1.11% | 5.44% | 6.61% |
| Dow Jones World TMI | 3.23% | 7.32% | 10.78% |
| Dow Jones Corporate Bond Index | -0.50% | -1.15% | -1.65% |
On a float-adjusted basis, the Dow Jones Wilshire 5000, a broad measure of the domestic equity markets, gained 1.11% in April increasing its YTD performance to 6.61% (on a full-cap basis, it gained 1.06%, increasing its YTD performance to 6.65%).
The fixed income asset class as measured by the Dow Jones Corporate Bond Index returned -0.50% this month. This combined with a first quarter return of -1.15% puts the index down -1.65% for the year.
The world equity markets, as measured by the Dow Jones World Total Market Index, were up 3.23% in April and reached a double-digit gain of 10.78% for the year.
