How Hedge Funds Performed in the 2010s

How Hedge Funds Performed

While putting together reviews of the past decade, I have looked at how emerging markets have performed vs developed markets, how bonds performed versus small and value stocks, and the Dow vs the Nasdaq. Here, I also want to look at how hedge funds performed over the past decade.

First, let’s look at a traditional mutual fund style rate of return report of different hedge fund strategies in recent years compared with the S&P 500 and CBOE S&P 500 Buy-Write Index.

How Hedge Funds Performed 2010-2019

To make this a better apples to apples comparison, we scale these returns by the volatility of each investment into Sharpe Ratio metrics:

Hedge Fund Index Sharpe Ratios

These returns and metrics have been calculated from the Credit Suisse liquid alternative benchmark portal, where you can download these Credit Suisse hedge fund benchmark return data back to 1994.