130/30 performance update

Long-short funds are down, but not as much as the S&P, says a story in the Journal (free WSJ Digg link).

Long-short funds are down, on average, about 4.2% over the past three months through Monday, compared with the Standard & Poor's 500-stock index's 11.4% decline, according to Morningstar Inc. The period roughly corresponds to the stock market's plunge from its Oct. 9 high.

In fact, long-short funds have performed better than every other category of stock funds that Morningstar follows during that period, except "bear market" funds, designed specifically to profit when the market falls.

Still, being down is being down.

Update: Random Roger had a post on the article.