Being short apparently has its benefits
| May 10th, 2010 | Filed under: 130/30, Academic Research, Retail Investing, Today's Post | By: AAA Staff |
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Last week we told you about a survey of institutional investors that found resistance to the idea of hedge funds managing long-only funds and vice versa. Today, we’ll revisit the topic of “convergence” from a retail investor’s standpoint.
Whether they are managed by alternative or traditional managers, mutual funds with hedge-like strategies have been growing in popularity for some time. A new study by Jingzhi Huang of Penn State University and Ying Wang of SUNY-Albany (“Should Investors Invest in Hedge Fund-Like Mutual Funds? Evidence from the 2007 Financial Crisis“) concludes that these hedged mutual funds outperformed the market during the financial crisis, but that there is more to the story than meets the eye… More…
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