This paper looks at the future of hedge funds, the challenges they face, and how they can remain successful going forward.

As alternative investment strategies gained increasing acceptance, the past couple of years turned into boom years for hedge funds and funds-of-hedge-funds, bringing increased visibility to the entire industry. But under that spotlight, when mis-steps involving back office operational risk and...

This paper looks at the future of hedge funds, the challenges they face, and how they can remain successful going forward.

Berk and Green (2004) argue that investment inflow at high-performing mutual funds eliminates return persistence because fund managers face diminishing returns to scale. Our study examines the role of trading costs as a source of diseconomies of scale for mutual funds. We estimate annual trading...

This paper addresses the problem to accurately determine buyout opportunity cost of capital for performance analyses. It draws on a unique and proprietary set of data on 133 US buyouts between 1984 and 2004. For each of them, we determine a public market equivalent that matches it with respect...

Managing the different companies in which they invest and at the same time performing portfolio optimization for themselves, venture capitalists position themselves as a pure-play or diversified conglomerate through their cumulative portfolios. I examine the effects of two investment strategies...