Hedge funds were not immune to recent market developments. They were down during the first half of October due to the underperformance of CTA, L/S Equity, and Special Situations strategies. Meanwhile, Merger Arbitrage, Fixed Income Arbitrage, Global Macro and L/S Equity Market Neutral strategies were resilient.

Equity markets fell on Wednesday with the S&P 500 down 3.1%, extending the index's losses to 9.4% since hitting an all-time closing high just a few weeks ago on 20 September. With today's decline the S&P 500 has erased its price gain for the year.

This rising penetration of financial products and services will, according to Ross Teverson Head of Strategy, Emerging Markets, forge dramatic change in developing regions of the world, in turn creating opportunities for investors.

Risk assets have yet to find stable ground after the recent turmoil. The rebound in equities since the October 11th trough appears fragile. Last week, the minutes of the latest FOMC meeting were hawkish and Italy's 10-year sovereign spread with Germany jumped to levels unseen since the eurozone sovereign crisis.

BNP Paribas Asset Management (‘BNPP AM') announces the appointment of Corinne Massuyeau as Global Head of Client Services. Corinne is based in Paris and reports to Sandro Pierri, Global Head of Client Group.