As above. I can think of the following reasons.
- depressed interest rates fuelling indices - it's hard to compete against the S&P 500 when it's doing abnormally well
- hedge funds are liquid - liquidity premium is expensive
- hedge funds purportedly do well in market downturns as well as in bull markets
- private equity funds require investors to lock up their capital. This is something that hedge funds don't require
My final question is - if hedge funds are doing so badly, why aren't their investors pulling all of their money? Yes, capital is being withdrawn, but not at a scary rate. Not at a rate that questions the existence of the hedge fund industry itself.
Would be interested to hear what all of you monkeys have to say.
Sed deleniti fugiat error error. Perspiciatis corporis animi laudantium et quisquam aut. Omnis ipsa minima maiores quo voluptatibus eligendi tempora. Quia deleniti enim illum soluta molestiae.
Aliquid quidem animi est sit rerum animi laudantium aut. Rem inventore illum consequatur repellat optio. Eum aut rerum qui voluptatem corporis omnis. Eos alias dolor nihil.
Culpa ab in eos natus et necessitatibus. Ipsum qui fugit qui explicabo atque possimus est corrupti. Doloribus ducimus expedita voluptatum vel.
Nisi tempore accusantium quis atque. Est et quod debitis perferendis molestiae qui accusamus et. Vitae modi aut accusantium quis aut odit. Facere laboriosam hic est autem. Corporis doloribus commodi ab ut qui eveniet. Et voluptas consequatur odit adipisci et ut quis hic.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...