Hedge funds dodge January downside as ‘underlying fear’ stalks markets

 A number of strategies navigated the DeepSeek turmoil and tariff threats rather well. Avoiding the downside and making the most of the upside as markets returned to normal.

The PivotalPath Composite Index was up 1.5% in January, while most other indices also generated positive returns. Highlights included the PivotalPath Equity Sector: Technology/Media/Telecom Index, as well as the PivotalPath Equity Sector: Financials Index, which were both up 2.6%.

The PivotalPath Event Driven Index was up 2.1% across the month, as funds took advantage of a growing number of hard and soft catalysts.