The Van Global Hedge Fund Index gained 1.5% net of fees in June, according to hedge fund index provider Van Money Manager Research. That is a sizable uptick from May, when hedge funds posted 0.6% returns. The index represents the average return of hedge funds tracked by Van. Currently the year-to-date return for the index is 1.6%.

"Hedge funds posted strong returns on average during June," Kevin Campbell, vice president of Van, said. "More than 80% of funds produced positive returns and beat the S&P 500."

According to Campbell, particularly noteworthy was the resurgence in convertible arbitrage. He also said that many in the industry anticipated that returns in this strategy would not rebound until the third quarter due to pricing pressures stemming from quarter-end redemption.

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