“We are pleased to present our annual review analyzing the performance of the
Credit Suisse/Tremont Hedge Fund Indices for 2006,” said Mr. Schupp. “Hedge
funds experienced a stronger than expected year thanks to a favorable market
environment that allowed the majority of hedge fund strategies to produce
positive end of year results. Record highs in global markets, mergers and
acquisition activity, a stronger than expected earnings season, a pause in the
continual rise of interest rates by the Federal Reserve, high energy prices and
volatility fluctuations all contributed positively to hedge fund performance for
Highlights for all Credit Suisse/Tremont Hedge Fund Indices in 2006 include:
- Consistent positive performance of the Credit
Suisse/Tremont Hedge Fund Index leading to a strong year for
index-linked products, due to the first and last quarters.
- The Credit Suisse/Tremont Hedge Fund Index tracking portfolio had a
0.98 correlation with the Credit Suisse/Tremont Hedge Fund Index.
- For the Credit Suisse/Tremont Hedge Fund Index, Emerging Markets,
Event Driven and Multi-Strategy were the top performing sectors for the
- The Credit Suisse/Tremont Blue Chip Investable Hedge Fund Index
posted positive returns for every month in the first and last quarters
of this year.
- Nine of the ten Credit Suisse/Tremont Sector Invest Indices
performed positively for the year.
- Convertible Arbitrage and Event Driven all brought positive returns
for every month of the year for the Credit Suisse/Tremont Sector Invest
- Convertible Arbitrage, Emerging Markets, Event Driven, Long/Short
Equity and Multi-Strategy ended the year with double digit returns for
the Credit Suisse/Tremont Sector Invest Indices.
- Year-to-date INVX outperformed, on a gross basis*, several competing
investable indices. The INVX finished 2006 up 10.44%, as compared to the
Hedge Fund Research HFRX Global Hedge Fund Index (“HFRX”), up 9.26% and
the MSCI Hedge Invest Index (“MSCI”) that was up 7.63%.
The full year-end performance review is available on the News and Press
section of our website, www.hedgeindex.com.
*INVX returns are presented gross of a 0.07% monthly management fee.
Sources: All performance data shown above is taken from Credit Suisse Tremont Index LLC, www.hedgeindex.com, www.msci.com, www.hfr.com. MSCI and HFR Index data was obtained from publicly available sources. Credit Suisse Tremont LLC does not guarantee the accuracy of such data
|Credit Suisse/Tremont Hedge Fund Index ||13.86%|
|Credit Suisse/Tremont Blue Chip Investable Hedge Fund Index ||9.51%|
|Sector Invest Convertible Arbitrage ||12.30%|
|Sector Invest Dedicated Short Bias ||-6.19%|
|Sector Invest Emerging Markets ||24.17%|
|Sector Invest Equity Market Neutral ||6.13%|
|Sector Invest Event Driven ||14.98%|
|Sector Invest Fixed Income Arbitrage ||5.57%|
|Sector Invest Global Macro ||1.15%|
|Sector Invest Long/Short Equity ||11.68%|
|Sector Invest Managed Futures ||5.85%|
|Sector Invest Multi-Strategy ||13.35%|
* Returns for INVX and the Sector Invest Indices are presented net of fees, while the Broad Index is presented on a gross basis.
Oliver Schupp, Credit Suisse, telephone 212 538 8179, firstname.lastname@example.org
Meg Bode, Bode Associates, telephone 516 869 6610, email@example.com
John Gallagher, Credit Suisse, telephone 212 325 0932, firstname.lastname@example.org
Tremont Group Holdings, Inc.
Tremont Group Holdings, Inc. is a leading hedge fund asset management firm, which provides and manages investment products and customized portfolios, and offers related services, on a worldwide basis. Currently managing approximately $8 billion in assets, Tremont maintains offices in Rye, New York; London; Toronto and Hong Kong.
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