U.S. markets were set to start the fourth quarter on a subdued note as oil prices pared gains, while investors looked forward to economic data that could provide further clues on the health of the economy.
The top 100 hedge funds averaged a return north of 10.5% in 2015, and the three-year average is a tad below 17%. Meanwhile, there are a lot of equity-long-short funds, indicating that good stock pickers are still around.
October is usually a bad month for equities but this has been one of the best thanks to the promise of more stimulus measures from the European Central Bank, a rate cut in China, and low or negative interest rates elsewhere. A slightly more hawkish Fed on Wednesday and the Bank of Japan's decision to refrain from expanding the pace of money printing on Friday spoiled the party a little.