News

Law

Asset Management

Investment Banking

Wealth

Hedge Funds

People

Newsletters

Events

Lists

Hedge Funds

Automated hedge funds make millions in January sell-off

Tumbling oil prices, sharp declines in global stocks and big moves in currencies have been a winning formula this month for a group of computer-driven hedge funds, which have made hundreds of millions of dollars during January’s sell-off.

Automated hedge funds make millions in January sell-off
Photo: iStockPhoto

Tumbling oil prices, sharp declines in global stocks and big moves in currencies have been a winning formula this month for a group of computer-driven hedge funds, which have made hundreds of millions of dollars during January’s sell-off.

The market upheaval has provided near-ideal conditions for so-called commodity trading advisers, or CTAs, hedge funds that use computer programs to guide how they trade.

WSJ Logo