Hedge funds appear to be on track to deliver returns of 6% or better in the second quarter, their best quarterly performance since 2000, Merrill Lynch analysts project.

Thus far for the quarter, hedge funds returned an average of 2.7% in April and 4.4% in May. The rally this year, following declines of 19% in 2008, has buoyed a number of high-profile hedge funds, including the Tudor BVI Global Fund, up 12.4% year-to-date through May, and the Maverick Fund, up 8.8%.

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