A marketing challenge for all hedge fund marketers  is how to benchmark performance of a hedge fund strategy.   We have all seen strategies that are allegedly non-correlated benchmark against the S&P or Russell 2k, the Barcleh AG (hat tip to Dealbreaker.com), however, how useful is this?   There are hedge fund indices out there,… Read more »

I pulled out  a couple excerpts below from an obvious but informative piece that recently came across the transom. the email from Hedgeworld hit my inbox as I was hanging up with a Geneva based investor member. A fund of fund that creates portfolios for private banks he felt like he was doing all the… Read more »

From: Hedge funds to chase the wealthy. Wealth Bulletin Stephanie Baum   Insightful article on two important hedge fund investor constituencies.   I will attempt to summarize: 1. HNW and family offices were some of the first investors in hedge funds   2. HFs started to target larger pockets of money from FOFs, endowments, foundations… Read more »

While hard data on the hedge fund industry is hard to come by, it is commonly understood that 50% of single manager money comes from FOFs. According to Hedgeworld, 30% of that 50% is gone, with significant implications for raising new capital. To name a few: – consolidating positions – knock-on redemptions – legitimate concern… Read more »