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JPMorgan Chase strategists pointed out in a report released on Wednesday that since the outbreak of Middle East conflict, quantitative funds such as commodity trading advisors (CTAs) have encountered their worst performance period in nearly a year. Meanwhile, equity long-short hedge funds have also recorded significant losses due to their heavy positions in European and Korean markets and underweighting in the software sector.
Top hedge funds including Citadel, Millennium, and Point72 collectively suffered massive weekly losses, with the worst performers losing as much as $1.5 billion, nearly wiping out their year-to-date gains in a single week.