New research from PerTrac Financial Solutions shows that emerging hedge funds perform better than older and larger funds.
“The study reveals that smaller and younger hedge funds tend to generate greater monthly returns than do older and larger hedge funds, although smaller funds also appear to be more volatile,” notes Meredith Jones, managing director, PerTrac.
“The study is useful to investors because it provides some broad guidelines on which funds are more likely to match their desired return/risk profile. While the information from this study can help investors know where to begin their search, they need to consider a number of factors when selecting a specific fund for investment.”