Federal Reserve Begins Treasury Bill Purchases to Stabilize Reserves and Money Markets 
Asian Stock Markets Start New Year Higher as Tech and AI Shares Drive Gains 
South Korea Factory Output Misses Forecasts in November Amid Ongoing Economic Uncertainty 
China Manufacturing PMI Rebounds in December, Offering Boost to Economic Growth Outlook 
Asian Markets Slip as Precious Metals Cool, Geopolitical Tensions Weigh on Sentiment 
Trump Delays Tariff Increases on Furniture and Cabinets for One More Year 
South Korea Factory Activity Returns to Growth in December on Export Rebound 
U.S. Stock Futures Slip as Year-End Trading Turns Cautious 
Wall Street Ends Mixed as Tech and Financial Stocks Weigh on Markets Amid Thin Holiday Trading 
U.S. Dollar Steadies Ahead of Fed Minutes as Markets Eye Policy Divisions 
Asia Manufacturing PMI Rebounds as Exports and Tech Demand Drive Growth into 2026 
USDA $12 Billion Farm Aid Program Draws Mixed Reactions from Row Crop Farmers 
Japanese Business Leaders Urge Government Action as Weak Yen Strains Economy 
Asian Currencies Trade Flat as Dollar Weakens in Thin New Year Trading 
China Imposes 55% Tariff on Beef Imports Above Quota to Protect Domestic Industry 
South Korea Inflation Rises to 2.3% in December, Matching Market Expectations 
Oil Prices Slip Slightly as Markets Weigh Geopolitical Risks and Supply Glut Concerns 
Hedge fund assets reached a record $4.5 trillion in October, Wells Fargo analysts revealed. Equity Hedge strategies led the surge with a 9.6% gain, fueled by effective stock selection and increased exposure to public markets.
Hedge Fund Assets Hit $4.5 Trillion Milestone in October
According to analysts at Wells Fargo (via Investing.com), hedge fund assets reached a record high in October, surpassing $4.5 trillion. This was driven by robust performance across a number of different strategies.
A year-to-date return of 7.4% was recorded in the HFRI Fund Weighted Composite Index, which contributed to the achievement of this milestone. Equity Hedge strategies emerged as the most successful strategies in this regard.
Equity Hedge Strategies Drive October Success
Equity hedge funds reported a gain of 9.6%, which can be attributable to the efficient selection of stocks and the increased exposure to public markets. Because of the increased dispersion of stock prices, which was a consequence of the increased interest rates and the slowdown in economic activity, an atmosphere that was suitable to active management was formed.
As corporations maneuvered through the process of recapitalization and restructuring, event-driven strategies, particularly those that focused on distressed credit, also performed exceptionally well in terms of returns.
Event-Driven and Long/Short Credit Strategies Shine
A similar approach was taken by long/short credit strategies, which fall under the relative value category. These strategies capitalized on asset pricing dislocations in order to achieve consistent gains with low market correlation.
When compared to this, macro techniques, particularly systematic approaches, encountered difficulties as a result of the frequent reversals in market trends that occurred across a variety of asset classes.
Analysts Forecast Continued Strategy Growth
It is anticipated by analysts that particular strategies, such as equity hedge – directional, event driven – distressed credit, and relative value – long/short credit, would continue to reap benefits from the larger economic and market recovery.
