My impression is that they want to invest in these exclusive vehicles precisely because they're exclusive. Also, these are human beings not homo-economicus or

My impression is that they want to invest in these exclusive vehicles precisely because they're exclusive. Also, these are human beings not homo-economicus or even necessarily financially savvy people. Very successful people also tend to have over-confidence. Sure, most hedge-funds under-perform the market, but some perform very well, and I know how to pick those.