---

Global financial markets posted gains through mid-May, as investors positioned for positive developments in global trade and tariff negotiations, anticipating stronger economic growth in the second half of 2025. Equity markets strengthened, with reduced volatility contributing to a full recovery in some large-cap U.S. indices, reflecting positive year-to-date performance. Regional market gains were led by Germany, Italy, and Japan. Interest rates rose, driven primarily by shorter-maturity bonds, while the U.S. dollar gained against most major currencies. Among commodities, oil, aluminum, platinum, and wheat recorded the strongest gains.

Hedge funds gained through mid-May, with the HFRX Global Hedge Fund Index gaining +0.78%.

• HFRX Equity Hedge Index gained +2.14%
• HFRX Event Driven Index gained +0.67%
• HFRX Relative Value Index gained +0.51%
• HFRX Macro Index declined -1.15%

Comments reference performance figures as of May 15th, 2025