We develop a new tail risk measure for hedge funds to examine the impact of tail risk on fund performance and to … identify the sources of tail risk. We find that tail risk affects the cross-sectional variation in fund returns, and … investments in both, tailsensitive stocks as well as options, drive tail risk. Moreover, managerial incentives and discretion as …

metric for assessing hedge fund performance, comprising both the relative the advantage and risk of the alternative …

We develop a new systematic tail risk measure for equity-oriented hedge funds to examine the impact of tail risk on … fund performance and to identify the sources of tail risk. We find that tail risk affects the cross-sectional variation in … fund returns, and investments in both, tail-sensitive stocks as well as options, drive tail risk. Moreover, leverage and …

hedge fund performance based on risk adjusted returns. Using data from 3,571 hedge funds over a 15 year period, we find that … risk adjusted returns should not focus on hurdle rates …

particular, we investigate the extent to which a spillover of risk among hedge funds through redemptions and failures of other … funds has affected the probability of fund failure. We find that risk spillover is significantly related to the failure … within the same investment style are adversely affected through both channels of risk spillover. In addition, we find that …

-choice problem for a risk-averse manager who launches a hedge fund through a seeding vehicle. This vehicle, i.e. fees-for-seed swap … properly. We also find that the ESFs manager's risk aversion can over-turn the risk-shifting incentives when the fund is likely … management (AUM) are nearing the prescribed cash-out boundary. We find that it is more likely for a more risk-averse ESF manager …

. This precautionary flight to cash was more pronounced among funds exposed to greater redemption risk through shorter share …

We evaluate popular measures of hedge fund tail risk such as maximum drawdown (MDD) and worst one-period loss, and … prove theoretically that realized tail risk is a downward-biased estimator of true tail risk. The bias can be almost 100 …% using a reasonable calibration. That is, true tail risk can be twice as large as its conventional estimator (realized tail …