acf/enfusion-insight-source

core/paragraph

Hedge funds entered 2023 amid rough waters. Macroeconomic and geopolitical concerns have created greater uncertainty. In parallel, the relentless tide of new regulatory requirements creates increased operational complexity. These factors represent an unprecedented wave of change.

Multiple factors affected 2022 hedge fund performance, from high inflation and rising interest rates to the war in Ukraine and pressure on the global energy supply. While overall hedge fund returns declined by 2.4% in 2022, four strategies outperformed and achieved positive returns. At the top were multi-strategy and quant funds, up 9.5% and 8.5%, respectively. Macro and arbitrage funds also were positive, at 6.7% and 3.6%.1

This convergence of economic and geopolitical trends will likely continue impacting the relative performance of hedge fund strategies in 2023. In turn, greater market uncertainty and added operational complexities require funds to evolve their approach to managing risk.

As a result, they need the right tools to support this shift. Funds are increasingly demanding solutions that allow them to fine-tune their models and analytics with accuracy, clarity, and simplicity.

core/heading

Investors and investment managers knew that low interest rates would not last forever and that COVID quantitative easing programs would eventually taper off. As these conditions changed, factors such as inverted yield curves and credit spread volatility brought new challenges—hence the positive data for arbitrage funds, which often thrive on volatility.

With few assets emerging unscathed from 2022, funds face new pressures to operate efficiently and remain competitive. They are under pressure to prioritize performance and profits while keeping pace with transparency, due diligence, and risk analytics. Moreover, tighter monetary policies and market volatility create dislocation that may benefit certain strategies, such as distressed credit, exotic FX, derivatives, and swaps.

<h4><meta charset="utf-8">The Long Tail of the Global Financial Crisis</h4>

<h4><meta charset="utf-8">Conclusion: Scaling to Thrive</h4>

1Source: <a href="https://www.aurum.com/hedge-fund-data/hedge-fund-industry-deep-dive/hedge-fund-industry-deep-dive-full-year-2022/" target="_blank" rel="noreferrer noopener">https://www.aurum.com/hedge-fund-data/hedge-fund-industry-deep-dive/hedge-fund-industry-deep-dive-full-year-2022/</a>

Talk To Us

Talk to Us

This site uses cookies to improve your experience. 
We’ll assume you’re okay with this, but you can opt out if you wish.

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies.

Administrative (HR)

Application Support

Board of Directors

CAMPUS EVENTS

Associate/ Senior Associate, Channel and Alliance Partnerships

Channels u0026 Alliance Partnerships

Client Onboarding - Americas

PMS Implementation Manager

Client Onboarding - APAC

Client Onboarding - EMEA

CLIENT SERVICES

Client Services Leadership - Americas

Client Services Leadership - APAC

Client Services Leadership - EMEA

Client Services Management

Client Success Representative

Client Success - Americas

Client Success - APAC

Client Success - EMEA

Content

CORPORATE

Corporate Development

Enterprise Application Support (EAS)

Executive Leadership

FINANCE

Revenue Manager

Finance 

GL u0026 Accounting

Human Resources

IT u0026 Security

LEGAL

 Legal 

Managed Services Operations

MARKETING

Digital Content Producer 

Marketing - Designer (Consultant) 

Marketing 

OEMS

Portfolio u0026 Operations

Business Analyst - Interfaces and Connectivity

Business Analyst Lead - Interfaces and Connectivity 

Electronic Trading Business Analyst, AVP

Market Data Business Analyst

Portfolio Management Systems Business Analyst

Product u0026 Business Analysis 

 Product Management

PRODUCT MANAGEMENT

Interfaces - Onboarding Client Integration Specialist

Portfolio Management System, Product Specialist 

Senior Analyst -Data Migration - Product Support 

Senior Associate - Reporting 

Product Support

Project Management Office

Quality Assurance/Testing

Reconciliations

Reporting

REVENUE

Revenue Operations

Sales, Assistant Vice President / Vice President

Sales

Sales Development 

Experienced Java Developer

Lead Integrations Developer

Web Developer

Software Development

APAC Head of Solutions Engineering

Solutions Engineer 

Solutions Engineering

Senior Database Administrator

Systems

TECHNOLOGY

Valuations u0026 Risk

X-COMPANY

Z DNU - Account Management - Americas

Z DNU - Account Management - APAC

Z DNU - Account Management - EMEA

Z DNU - Analytics

Z DNU - Client Services Trainee Program

Z DNU - Client Service Support 

Z DNU - Compliance u0026 Regulatory

Z DNU - Content

Z DNU - Corporate Strategy and Operations

Z DNU - Implementation Delivery

Z DNU - Interfaces

Z DNU - Legal

Z DNU - Level II Support

Z DNU - MANAGED SERVICES

Z DNU - Managed Services Product

Z DNU - Market Data Product

Z DNU - Operational Risk, Quality u0026 Control

Z DNU - Order Execution Management Systems

Z DNU - Portfolio Management

Z DNU - Project Management

Z DNU - Support Delivery

Z DNU - Technology Program Management

No Department

Ensure faster time to launch, higher organizational efficiency, and a dramatic reduction in technical complexity—all of which reduces costs across your firm.

Enter new markets and deploy new strategies without disrupting your workflows with a multi-asset, integrated PMS/OEMS/analytics framework.

Get the desktop, web and mobile tools you need to stage and execute even the most complex orders with total confidence: pre-trade compliance, customizable trade blotters, and more.

Drive accuracy and transparency across your organization by allowing all teams to work from one synchronized dataset.

Keep your compliance posture strong and risk exposures highly transparent across regions, asset types and strategies with 1000s of pre- and post-trade checks.

Eliminate the costs of managing and maintaining on-premises technology through Enfusion’s cloud-native, multi-tenant SaaS architecture.

Enfusion unlocks the full potential of your investment process across front, middle, and back office.

2023 Hedge Fund Trends: Thriving in Heavy Weather

Gennadiy Friedman