Hedge Fund Sell-off

“Through the first two months of the year, long/short equity hedge funds and mutual funds were neutral the market but long growth stocks, which helped underpin outperformance through the January-February sell-off. The rotation out of growth and into value starting in early March hurt and funds were forced to unwind positions.” (Deutsche Bank)

Hedge Fund Performance

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“Whatever it takes”

Spanish and Italian 5-year government bond yields are now below those of the US.

Bond Yields

There is still a real threat of deflation across Europe and some countries are already experiencing deflation, but “Whatever it takes” has had a huge impact on debt markets.

Government Bond Yields