Indian hedge funds lag market surge amid Covid spike and lockdown

Hedge funds in India typically come under AIF structures, many are managed to ensure clients' assets are protected and aren't focused on delivering massive returns

Investment vehicles favoured by the wealthy have given lower than market returns, amid a surge in equities despite Covid-19.

Hedge fund managers typically try to protect the downside risk for investors, say experts. This helped them outperform significantly during the worst of declines in March. Global hedge fund tracker Eurekahedge data showed that local funds represented by the Eurekahedge India Hedge Fund Index were down only 10.57 per cent compared to a 23.05 per cent decline in the S&P BSE Sensex. The Sensex is a 30-stock index which is seen to be representative of market performance.   

But they lagged in April