(Wall Street Journal) Computer-driven hedge funds have had a torrid time of late. But this month, at least, they are making a comeback. So-called CTAs (commodity trading advisors), which use complex algorithms to try and profit from trends in financial markets, were the star performers of last year and continued that into the start of this year, helped by oil’s long decline and gains in stocks and bonds.
But the second quarter of the year saw profits at big-name managers such as Man Group’s AHL and Winton Capital erased, as bond and stock markets wobbled over Greece’s debt crisis and uncertainty over the path of U.S. interest rates.
