Millennium flat in September amid global bond sell-off

In September, the global bond sell-off and renewed inflation concerns created a challenging trading environment for hedge funds, according to Bloomberg. Millennium Management, a $97 billion multi-strategy firm, reported that it ended the month unchanged, resulting in an 8.1% return for the first nine months of the year. The difficulty was attributed to higher oil prices stemming from the ongoing Iran conflict, which led to concerns about inflation, and shifting expectations for monetary policy. These factors drove up government bond yields, putting pressure on fixed-income strategies.

However, not all hedge funds fared poorly during the month. Singapore-based Quantedge Global experienced a 4.3% gain in September, bringing its year-to-date return to 49.3%. The quantitative manager benefitted from positions in commodities and equities, although fixed-income trades impacted its performance. North Rock, an equity-focused multi-manager firm, reported a modest 0.35% gain in September, bringing its year-to-date return to 5.1%. Managed assets under North Rock were estimated to be between $6.5 billion and $7.6 billion.

Other hedge funds also recorded gains. Man Strategies 1783 saw a 1.89% increase in September, putting its year-to-date return at 10.93%. Dymon Management also gained 0.65% in September, reaching a 7% return for the year. FengHe Asia reported a 0.31% gain in September, culminating in a 22.6% return for the year. Representatives for the mentioned firms declined to comment on their performances.