Hedge fund performance in July was a mixed bag, with stockpickers benefiting from rising markets while systematic funds initially struggled due to crowded trades. Goldman Sachs reported stockpickers gained almost 1.5%, while systematic funds saw a negative 2% return before recovering. Multi-strategy funds posted muted results, and individual fund performances varied widely.
Hedge fund returns climbed in July as many were lifted by rising stock markets that hit record highs, though others were caught in turbulence sparked by U.S. trade uncertainty, according to a Goldman Sachs report and sources familiar with the funds.
Hedge fund stockpickers returned almost 1.5% in July and are up roughly 7.8% for the year so far, said Goldman Sachs in a note to clients on Monday seen by Reuters.
Systematic hedge funds trading stocks were on track to deliver their worst monthly performance on record before rebounding after July 25 to claw back half of their losses, finishing with a negative 2% return, said Goldman.
These funds were up 10% for the year so far, however, added the bank. While stockpickers benefited by piling into already crowded trades, hedge funds using algorithms to create systematic trading strategies were hurt by busy trades, said Goldman.
The S&P 500 hit record highs during July, but only returned 1.38%.
The biggest multi-strategy funds posted muted returns, including Schonfeld Strategic Advisors’ flagship fund Strategic Partners, which was down 0.3% in July and is now up 5.8% for 2025, according to a source familiar with the matter. Schonfeld’s Fundamental Equity fund gained 1.4% last month and was up 7.1% in the year, the source added.
The $76.9 billion British hedge fund Marshall Wace returned a negative 0.2% in its Market Neutral TOPS fund, bringing its half-year performance to roughly 11%. Its Eureka fund returned 1.6% in July and is up 6.1% for 2025 so far, said another source familiar with the fund’s results.
Fund name July YTD % %return result CFM Discus 0.9 4.3 CFM Stratus 0.0 5.7 CFM Cumulus 0.3 7.0 Cinctive 3 5 Citadel Wellington Fund 1.3 4 Graham Tactical Trend -0.1 -7.63 Graham Multi Alpha Opportunity -0.6 9.11 Graham Proprietary Matrix -0.87 4.4 Graham Quant Macro 1.93 -5.02 Graham Absolute Return -0.92 5.76 Graham Discretionary Portfolio -0.39 4.63 Marshall Wace Market Neutral TOPS -0.22 10.99 Marshall Wace Eureka 1.6 6.1 Man Group AHL Alpha Programme -1.48 -9.14 Man Strategies 1783 -1.04 5.01 Rokos Capital Management 1.36 13.74 Schonfeld Strategic Partners Fund -0.3 5.8 Schonfeld Fundamental Equities Fund 1.4 7.1 Transtrend* 1.75 -15.67 *result as of Aug 4.
