It's turning out to be a decent year for hedge funds (hedge fund news). Thee Dow Jones Credit Suisse Hedge Fund Index was up nearly 6 percent year-to-date as of September 30. That beat the Dow Jones Global Index by about 3 percent.

In September, the index hit a significant milestone: It surpassed its previous high-water mark, meaning it recouped the near 20 percent drop which occurred between June 30 and December 31, 2008. As of the end of the third quarter, the index is up nearly 2 percent from its previous peak of June 2008.

In contrast, the Dow Jones Global Index has yet to recover from the financial crisis drawdown and is still about 25 percent off its peak. Of course, there are many funds who remain below their high-water marks. Others have launched new funds in the wake of the performance drought in part to get around the high-water mark issue. But 71 percent of funds are posting positive returns so far this year. So we may see more funds climb out of their recent holes.

For more:
- here's the release

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