The Dow Jones Credit Suisse Core Hedge Fund Index saw less than half of the declines seen in broad equity indexes in September. Nevertheless, uncertain market conditions negatively affected all strategies.

Oliver Schupp (pictured), President of Credit Suisse Index Co, LLC, says: "The Dow Jones Credit Suisse Core Hedge Fund Index finished down 4.23% in September, bringing year-to-date performance to -7.84%.

"In the Event Driven space, losses mainly stemmed from relatively concentrated long equity positions related to special situations, while Global Macro managers declined following sharp reversals in precious metals, such as gold which posted its worst monthly loss since 1983. Compared to the year-to-date drop of 15.36% for the Dow Jones Global Index, hedge funds have provided some level of capital preservation to date this year, however, all strategies appear to be feeling the pain with market uncertainty at an all time high."