Hedge Fund managers are expected to create excess investment returns (Alpha) through two primary skills based sources: (i) Security selection: buying undervalued securities and selling overvalued securities (ii) Market timing: entering markets in advance of, or when they are rising and exiting,...

Selection of a hedge fund (HF) strategy, or strategies, is highly relevant in determining how a HF portfolio will fare under various financial market environments. Equally important, one can easily argue, is the task of implementing the selected strategy mix by choosing among HF managers in each...

Hedge fund investment strategies tend to be quite different from the strategies followed by traditional money managers. Moreover, in principle every hedge fund follows its own proprietary strategy. This means that hedge funds are a very heterogeneous group. There are, however, a number of...

Hedge funds are considered an alternative asset class, in contrast with traditional investments such as stock and bonds. One of the reasons to view hedge funds in a somewhat different light than “bread and butter” asset classes is the differing asset characteristics that hedge funds exhibit....

Sovereign Wealth Funds (SWFs‖) differ in many ways from other institutional investors in their investment activities. They have different objectives, investment processes, time horizons, risk profiles, utility preferences as well as eligible instruments. One of the more recent debates within...

The alternative investments universe generally consists of investments outside of publicly traded real estate, equity and debt. It includes investments ranging from private commercial real estate, hedge funds and managed futures, liquid alternatives to illiquid private equity funds, and real...

In this paper we examine two closely related questions regarding hedge fund liquidity: (i) Is there a cost associated with enhanced liquidity provisions? (ii) If so, what is the main driver of this cost? To answer these questions, we conducted a series of statistical analyses upon a broad sample...

Hedge Fund (HF) managers are expected to create excess investment returns (Alpha) through two primary skills based sources: (i) Security selection: buying undervalued securities and selling overvalued securities. (ii) Market timing: entering markets in advance of, or when they are rising and...