4 ms·

It's been quite a while since hedge funds were actually in the business of hedging.

• eldavido 11y ago
  yeah, we need a different name for these things, like FAM, "flexible asset managers", or AIMs, alternative asset managers. The key point is that they can do whatever they want, not that they "hedge" anything.
  • gmarx 11y ago
    Unregulated mutual fund?
    • harmegido 11y ago
      Hardly. There's tons of regulations around them.
• tim333 11y ago
  The business of a lot of them amounts to sticking 80% of the money in whatever's trendy, 20% in the managers pockets, roughly. Not a bad deal for the managers if you can pull it off.
  • marcusgarvey 11y ago
    Paraphrasing the lede here[1]: Hedge funds produce little to no alpha and investors have known that for quite a while. 1 - http://www.nakedcapitalism.com/2016/02/the-financial-times-revisionist-history-on-hedge-funds-failure-to-deliver-manager-outperformance-or-alpha.html http://www.nakedcapitalism.com/2016/02/the-financial-times-r...