On the Role of Hedge Funds in Institutional Portfolios: Comprehensive Version
53 Pages Posted: 8 May 2015
Date Written: September 10, 2003
Hedge funds do not easily fit into the current way institutions go about investing. Based on a survey of recent academic and practitioner research, this article reviews six competing frameworks for how to incorporate hedge funds in institutional portfolios. Each framework has very different implications for institutional asset allocation, manager selection, and benchmarking.
Keywords: hedge fund, institutional investor, portfolio, performance, risk factors, asset allocation, return
JEL Classification: G10, G11, G23
Suggested Citation: Suggested Citation