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Based on the information below, would you expect Fixed-Income Arb hedge funds to have positive or negative performance in the following scenarios:
a) stock markets rise
b) interest rates fall
c) credit spreads widen
Funds Group* Alpha S&P 500 Long T-Bond Credit Conditions U.S. Dollar All funds 0.0052 3.3487 0.2718 5.0113 0.0189 0.3064 0.1755 2.0462 -0.1897 -2.1270 Market neutral 0.0014 0.1990 0.1677 0.6917 -0.0163 -0.0589 0.3308 0.8631 -0.5097 - 1.2790 Short bias 0.0058 1.3381 -0.9723 -6.3684 0.1310 0.7527 0.3890 1.6113 -0.2630 -1.0476 Event driven 0.0071 5.1 155 0.2335 4.7858 -0.0000 -0.0002 0.2056 2.6642 -0.1165 -0.1520 Risk arbitrage 0.0034 3.0678 0.1498 3.8620 0.0130 0.0442 -0.0006 -0.0097 -0.2130 -3.3394 Distressed 0.0068 5.7697 0.2080 4.9985 0.0032 0.0679 0.2521 3.8318 -0.1156 -1.6901 Emerging markets 0.0082 2.8867 0.3750 3.7452 0.2624 2.2995 0.4551 2.8748 -0.2169 - 1.3173 Fixed-income arb 0.0018 1.0149 0.1719 2.8139 0.2284 3.2806 0.5703 5.9032 -0.1714 - 1.7063 Convertible arb 0.0005 0.2197 0.2477 3.1066 0.2109 2.3214 0.5021 3.9825 -0.0972 -0.7414 Global macro 0.0079 3.5217 0.0746 0.9437 0.0593 0.6587 0.1492 1.1938 -0.2539 -1.9533 Long-short equity 0.0053 2.5693 0.4442 6.1425 -0.0070 -0.0850 0.0672 0.5874 -0.1471 - 1.2372 Managed futures 0.0041 0.8853 0.2565 1.5944 -0.2991 -1.6310 -0.5223 -2.0528 -0.2703 - 1.0217 Multistrategy 0.0075 4.2180 0.2566 4.1284 -0.0048 -0.0684 0.1781 1.8116 -0.1172 - 1.1471
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