NEW YORK, July 31 (Reuters) - Global long/short hedge funds, those that bet stocks will fall or rise, were forced to unwind bearish bets that were dragging down performance in July, a Goldman Sachs report showed on Monday.
Goldman Sachs (GS.N), as one of the biggest providers of lending and trading services to investors, is able to see how large hedge funds and asset managers move.
Goldman wrote hedge funds may be close to the finish line of this trend, given the record levels reached.
Mario Unali, senior portfolio manager at Kairos Partners, which invests in hedge funds, said hedge funds were unlikely to add long positions.
"I don't expect the hedge fund industry to start chasing the market right now, at a time of seasonally low volumes and increased gap risk."
Persons:
unwind, Goldman Sachs, Goldman, Mark Spiegel, Mario Unali, Carolina Mandl, Alison Williams, Matthew Lewis
Organizations:
YORK, Kairos Partners, Carolina, Thomson
Locations:
New York