Hedge funds lost 1.18 per cent in September, according to the Barclay Hedge Fund Index compiled by BarclayHedge.

At the end of three quarters in 2014 the index remains up 3.10 per cent.
 
“Anticipation of Fed tightening and ECB loosening poured cold water on equity markets and drove US interest rates higher on the month,” says Sol Waksman, founder and president of BarclayHedge. “Protests in Hong Kong, the close vote for Scottish independence, and the prospect of the US going back to war in the Mideast added to investor jitters and price volatility.”
 
Overall, 11 of Barclay’s 18 hedge fund indices had losses in September. The Event Driven Index was down 2.64 per cent, Emerging Markets lost 2.46 per cent, Distressed Securities gave up 2.35 per cent, and the Equity Long Bias Index was down 2.07 per cent.
 
On the positive side, Global Macro was up 1.54 per cent, Equity Short Bias gained 1.42 per cent, Pacific Rim Equities were up 0.67 per cent, and the European Equities Index added 0.58 per cent.
 
After three quarters, the best performing hedge fund strategy is Healthcare & Biotechnology, with a 12.25 per cent gain. Fixed Income Arbitrage is up 5.28 per cent, the Multi Strategy Index is up 3.99 per cent, and Distressed Securities have gained 3.58 per cent.
 
Only two BarclayHedge indices have losses in 2014. Equity Short Bias is down 10.95 per cent, and the Technology Index has lost 2.58 per cent.
 
The Barclay Fund of Funds Index lost 0.03 per cent in September, but is up 2.18 per cent in 2014.