By Patturaja Murugaboopathy and Summer Zhen

(Reuters) – Global hedge funds are set to post their worst returns in 14 years in 2022 after aggressive US interest rate hikes hit asset prices hard. However, their declines are smaller overall than the stock and bond market slump this year.

Some hedge fund strategies that invest money in commodities and currencies with macro-focused strategies and exploit price differentials between related securities outperformed in 2022, ranging…