Top US hedge funds encounter "Black February" as the pattern of "East rising, West falling" continues to strengthen.

Due to market volatility reversing the momentum of key trades and severely impacting popular stocks, the returns for Millennium Management, Citadel, and other top hedge funds in February were lackluster. Multi-strategy firms employing a neutral strategy in the stock market suffered the most losses. These losses were caused by over-crowding in a small number of stocks, especially in healthcare and technology. According to sources, Jain Global fell approximately 1%. Millennium dropped by 1.3%, Citadel by 1.7%. The PivotalPath Multi-Strategy Index rose by 0.2% in February. Last month, President Trump continued to stir market volatility with tariff threats, while at the same time, inflation rates exceeded expectations, adding another layer of uncertainty to the stock market. Index rebalancing is a major loss strategy, with traders betting on whether companies will be included or excluded from indices on a quarterly or semi-annual basis. Morgan Stanley analysts noted in a report to clients that the volatility from late January to February "raised many questions about the performance of hedge funds." The analysts also added that the influx of technology, media, telecommunications, and some consumer goods stocks led to "poor performance for some funds." The S&P 500 Index fell by 1.4% in the month, with a year-to-date gain of only 1.2% as of February, lagging behind the EuroStoxx Index and MSCI China Index by more than 10 percentage points in US Dollars. This volatility also impacted major macro hedge funds. Said Haidar's Haidar Jupiter Fund fell by 6.3% in February, but has risen by 8.6% year-to-date. Brevan Howard's BH Master Fund fell by 1.6% in February, down 4.5% since January 1st. The BH Alpha Strategies performed relatively well, rising by 0.7% in February and by 2.25% year-to-date. The so-called "Fabulous Seven Tech Stocks" that have driven hedge fund returns in recent years are now facing setbacks as investors question the valuation of these companies and their massive investments in artificial intelligence. In contrast, European stock markets have performed better, and the Chinese stock market is also surging. Goldman Sachs stated in a report that some US funds focused on stocks also faced challenges with multiple strategies, with clients using this strategy averaging a 1.4% decrease in February. In comparison, their Asian counterparts averaged a 1.9% rise this month, while European funds rose by 0.5%. Balyasny Asset Management, managing $22 billion in assets, saw the largest increase among large multi-manager asset management firms, rising by 0.9%. Singapore's Dymon Asia Capital, managing around $3 billion in assets, rose by 1%.