In this paper, we studied the monthly returns of hedge funds over the period 1998 to 2003 and found that there are styles of management that affect the performance. We found that differences in investment style contribute about 30 per cent of the variability in hedge funds performance. This...

In this paper, we are using Jensen's alpha, Sharpe ratio and multi-factor models to test the performance of hedge funds for the period 1998 to 2003. Hedge fund returns exhibit a high degree of non-linearity and kurtosis. Our results suggest that for the examined period hedge funds provide...

We are investigating whether hedge fund indexing provide sufficient asset diversification for the private investors and decreased volatility. It is another way to gain access in the hedge fund industry. The traditional way was to invest in different hedge fund categories. Investing directly on...

We are investigating Sharpe, (1992), return based style analysis of equity market neutral hedge funds. The style weights of taking a short position in different assets can be positive or negative. A market neutral strategy combines both long and short positions. The net exposure is equal to...

Funds of hedge funds invest solely in other hedge funds. The hedge fund manager selects funds based on a specific investment strategy or a combination of different investment strategies to achieve a better return. The benefit of combining different investment strategies is to achieve...

Hedge funds have increased their assets over the past decades. In this paper, we consider the added value of hedge funds in a portfolio dominated by investment trusts. The sample is provided from Data Feeder dataset. It is very comprehensive and includes event driven hedge funds for the period...

This book is designed to provide an overview and introduction to the hedge funds industry.Hedge funds are also known as alternative investments that are suited to institutional investors or wealthy investors with significant experience and knowledge in investment. They are used to hedge...

This paper aims at testing empirically the major building blocks that affect the performance of Hedge Funds: incentive fees, management fees, size, age, hurdle rate, high watermark provision and lockup period. The sample is provided from Data Feeder dataset. It is very comprehensive and includes...

CTA, commodity trading advisers, or managed futures managers' trade in the commodity market. The hedge funds invest in commodity futures, currencies, bonds and shares. The portfolio is leveraged and the risk is quite high. Forward and futures contracts have similarities in terms that they...

In this article, we are investigating the effects of returns and expenses of hedge funds in terms of natural logarithmic monthly returns and expenses in terms of fees of long/short equity and arbitrage hedge funds. We have applied a Vector Error Correction model, (VEC) and a Granger causality to...