After some poor experiences during the GFC, hedge funds offering uncorrelated returns have greater appeal as traditional markets struggle, but don’t pay up for simple market exposure.
Tag Archives | correlation
Despite negative headlines regularly aimed at hedge funds, they experienced strong inflows in the six years until the end of 2015. What are the benefits of hedge funds for a portfolio?
Part 2 focusses on the criticisms that are often levelled at hedge funds and how to manage these disadvantages to your level of tolerance. The challenge for the hedge fund industry is to deliver more retail-targetted products.
While diversification makes sense in theory, how did it hold up during the global financial crisis? Follow the crisis through the lens of correlations and diversification.
Follow diversification’s past, present and future in this three-part series. Part one takes us from Shakespeare’s Merchant of Venice to the classic strategic asset allocation pie chart used throughout the investing world today.
In the last part of our Labor v Liberal series, we look at the impact deficits and surpluses have had on equity returns. The statistics show an interesting trend of high performing equity markets in periods of deficit.
Diversified income funds have been extremely popular and have performed well recently, but ‘income’ is often not really income at all. If there is a reversal in some or all of the underlying factors, returns are at risk.