Since the market does not go up forever, diversification of investment strategies produces better risk-adjusted returns. In Evaluating Hedge Fund Performance, Tran examines why alpha strategies are better than beta strategies. He discusses the issues facing many investors. For instance, he explains how individual and institutional investors are alike, and how corporate earnings and stock prices are adversely affected by high-volatility investment strategies. He answers questions like how do managers produce excess returns regardless of market conditions; how do hedge funds fit into a traditional stock/bond portfolio, conservative or otherwise; and why past performances are definitely not predictors of future returns. From all levels of evaluating hedge funds (capital asset pricing models, hedge fund indices, arbitrage pricing theory) to picking the winners (their profiles, characteristics and performance), Dr. Tran gives readers the information they need to construct a hedge fund portfolio from their own level of knowledge in order to get the optimum portfolio performance. Discussions of funds, identifying market inefficiencies and diversification benefits abound, Evaluating Hedge Fund Performance takes the regular hedge fund book to a new level by detailing how to manage the risk of hedge funds with various strategies and offering the best methods to evaluate and monitor the funds that investors are able to successfully access. With research based on interviews and data from experts in the field, Evaluating Hedge Fund Performance is a must-read for any investor or manager who is investing in hedge funds.
Book Details:
- Author: Vinh Q. Tran
- ISBN: 9781119201182
- Year Published: 2006
- Pages: 284
- BISAC: BUS027000, BUSINESS & ECONOMICS/Finance
About the Book and Topic:
Since the market does not go up forever, diversification of investment strategies produces better risk-adjusted returns. In Evaluating Hedge Fund Performance, Tran examines why alpha strategies are better than beta strategies. He discusses the issues facing many investors. For instance, he explains how individual and institutional investors are alike, and how corporate earnings and stock prices are adversely affected by high-volatility investment strategies. He answers questions like how do managers produce excess returns regardless of market conditions; how do hedge funds fit into a traditional stock/bond portfolio, conservative or otherwise; and why past performances are definitely not predictors of future returns. From all levels of evaluating hedge funds (capital asset pricing models, hedge fund indices, arbitrage pricing theory) to picking the winners (their profiles, characteristics and performance), Dr. Tran gives readers the information they need to construct a hedge fund portfolio from their own level of knowledge in order to get the optimum portfolio performance. Discussions of funds, identifying market inefficiencies and diversification benefits abound, Evaluating Hedge Fund Performance takes the regular hedge fund book to a new level by detailing how to manage the risk of hedge funds with various strategies and offering the best methods to evaluate and monitor the funds that investors are able to successfully access. With research based on interviews and data from experts in the field, Evaluating Hedge Fund Performance is a must-read for any investor or manager who is investing in hedge funds.
Hedge funds are soaring in popularity. Both professional and technical interest has led to the formation of The Chartered Alternative Investment Analyst Association with its Chartered Alternative Investment Analyst Program, and tons of serious publications such as the Journal of Alternative Investments are popping up everywhere. In terms of sheer numbers, hedge funds have grown in the U.S. from about 800 in 1993 to over 6,000 in 2003. Europe has the most established hedge fund community, but assets under U.S. management have reached over $600 billion and are expected to be about $2 trillion in 5 years. U.S.-based investors have broadened from sophisticated institutions like Harvard University to smaller endowments and corporate pension plans, and individual investors are getting rich by investing in hedge funds. This book discusses all aspects of the market from the U.S. to the world, large investor to small investor, and brings leading strategy (what it is, how to do it) from the field to the finance reader.
IN-DEPTH EXAMINATION OF HEDGE FUNDS. The author offers information from the perspective of sophisticated investors, including large endowments and funds of hedge funds. He discusses hedge fund strategies and exactly how hedge fund managers manage their investments behind the scene. PRESENTS ADVANCED FUND PERFORMANCE ANALYSIS. Leading investors evaluate hedge fund investments and risks and the author presents a new methodology to analyze the performance and risk of hedge funds. AUTHOR PLATFORM. Author teaches at NYU and we expect strong endorsements and academic reviews by professors like Martin Gruber, and possible adoptions. Institutional support from Lehman, Citicorp, and Talmage Capital email and website placement.
About the Author
Dr. Vinh Q. Tran (Greenwich, CT) is President of Aquarii Capital Management, LLC, an investment advisory firm. He has over twenty years of experience in managing fixed income, global macro and long/short equity strategies. He has also advised institutional investors, funds of hedge funds and high net worth individual investors in hedge fund investing and asset allocation strategies. Dr. Tran has also taught portfolio theory and quantitative methods as an Adjunct Professor of Finance at New York Universityâ??s Stern School of Business and Fairfield University. Author of Foreign Exchange Management in Multinational Firms, Dr. Tran has a PhD and an MBA in Finance from George Washington University, and a BA in Accounting and BS in Political Science from the University of Dalat in Vietnam.Â