Emerging market hedge funds stand out in a so-so year

Fund managers that specialize in investing in emerging markets have achieved standout gains of nearly 8 percent in a year when the typical hedge fund has eked out returns of about 5 percent, recent data showed. Emerging market-focused hedge funds gained 4.5 percent in the third quarter, adding about 2.6 percent in September, according to industry tracker eVestment|HFN……... Hedge funds, on average, gained only 1 percent in September and 2.79 percent for the quarter. Year-to-date average returns in the more than $2 trillion industry were about 5 percent through September, compared to emerging market funds, which were up 7.8 percent over the same period. Those gains still trailed the benchmark S&P 500 stock index, which added 2.25 percent last month and climbed 16.43 percent for the year through September 30….. Still, the quarterly gains achieved by emerging market hedge funds were better than any other major category of fund…...................................................................................................................... Read more at http://www.reuters.com/article/2012/10/15/us-hedgefunds-emergingmarkets-performanc-idUSBRE89E1AD20121015