Hedge Funds Rose an Average 1.8% in March

In its March performance update Hedge Fund Research Inc. [HFR] said hedge funds on average rose 1.8% last month, contributing to a 0.5 percentage point gain for the first quarter that outpaced public stock indexes.

Funds that invest in other hedge funds, meanwhile, fell 0.01 percent for the month. Funds-of-funds have eked out a 0.5 percent gain this year.

The biggest decliners were short-seller funds, down 4.7% last month as stocks surged. Macro funds, after a strong 2008, were down in March and for the quarter.

Equity hedge funds were the best-performing category last month, returning 3.4%, HFR said. [via Reuters]

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