Reuters – Goldman Sachs & Co. (GS.N: Quote, Profile, Research) will discontinue its convertible arbitrage hedge fund index amid a general downturn in the once-lucrative trading strategy, the financial services firm told investors this month.
The Goldman Sachs U.S. Convertible Hedge Fund Index, which tracks performance of 18 funds, will be scrapped at the end of the year, it said in a note to investors this month.
The bank said that a number of funds in the index that previously practiced convertible arb strategies have diversified into broader strategies so that the index will no longer remain “representative and informative.”
