Renaissance fund gains 6% as hedge fund rivals lose

Renaissance Technologies’ Renaissance Institutional Equities Fund rose 6% in October, lifting its return for the year to 12.3%, according to people familiar with the results.

The firm’s Institutional Diversified Alpha fund gained 4.6% during the month, bringing its year-to-date return to 22.4%.

Market conditions weakened in October as investors questioned high valuations for artificial intelligence companies. A sharp selloff in semiconductor stocks affected equity and macro trading strategies. Political turmoil in France and ongoing conflicts in Ukraine and the Middle East added to market volatility.

Kirkoswald Asset Management recorded its worst monthly loss on record. Walleye Capital, Engineers Gate and Samlyn Capital reduced portfolio exposure and cut staff after weaker performance.

Many quantitative hedge funds lost about 1% during the month. Fundamental equity and macro funds recorded steeper declines.