Analysis-Trend hedge funds struggle as more nimble macro funds embrace whipsawing markets - Finnoexpert

Trend-Followers Stumble Into One of Their Worst Years

May was another losing month for commodity trading advisors, funds that mostly follow short-, medium-, or long-term trends. Given the market’s zigzagging reactions to President Trump’s mercurial tariff policy pronouncements, it’s not surprising these funds continue to be whipsawed by quick, unexpected market movements, whether in stocks, rates, commodities, or currencies.

Macro hedge funds outpace trend followers amid market volatility

Discretionary macro hedge funds are outperforming their systematic counterparts in 2025 as volatile markets, driven in part by US President Donald Trump’s unpredictable policy decisions, have disrupted trend-following strategies, according to a report by Reuters. The report cites a client note from Société Générale as highlighting that systematic hedge funds – which rely on algorithms to identify and ride market – are down over 11% year-to-date …

Analysis-Trend hedge funds struggle as more nimble macro funds embrace whipsawing markets - Finnoexpert

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