Perfectly aligned interests?
Their performance has been disappointing lately and they are too expensive but, at least, their managers’ interests are perfectly aligned with ours. This is a widely held view on hedge funds. But in fact, two of the three statements are false. The only one that is correct is that they are too expensive. I will […]
Alpha – real and fake
A few weeks ago, a friend asked me what I thought about a recently published study, entitled “The value of the hedge fund industry to investors, markets and the broader economy”. Written by the Centre for Hedge Fund Research of the Imperial College in London, it is published by KPMG and the Alternative Investment Management […]
Lies, damn lies and FTfm statistics
This week’s FTfm (the FT’s financial market supplement) ran an article headlined Hedge fund gains are other funds’ losses (access reserved to subscribers). It finds that hedge fund managers outperformed over the past thirteen years and that this outperformance was “financed” by a corresponding underperformance of traditional asset managers. This would be very good news […]
The Economist and CalPERS
By Rolf on 23 September 2014
After a series of posts that were rather critical of the media, it seems only fair to praise an article that makes its points succinctly. This week’s Buttonwood column in the Economist discusses hedge funds and pension deficits in the context of the decision of CalPERS to abandon hedge fund investment. It makes for rather […]
Posted in Comments/ramblings | Tagged Hedge funds, Pension funds