Following Father Devine, my hypothesis:  

the mediocre returns are for the average rich slob

who invests, the super-normal ones are for the connected who get

deals that are opaque to the cops and regulators and founded on

inside information and influence peddling.  Like Hillary's commodities

trade.







> ----- Original Message -----
> From: Jim Devine
> 
> 
> >> JOHN M. GRIFFIN & JIN XU's Abstract concludes that  "... our study 
> raises serious questions about the proficiency of hedge fund managers."
> 
> Perhaps that's the wrong question. They might want to look at the
> political connections and/or government subsidies that characterize
> hedge funds. These would compensate for any inadequacy of competence
> compared to mutual funds. One kind of subsidy that I know is that
> hedge funds don't have to reveal anything to the SEC. Are there
> others?
> -- 
> Jim Devine / "Segui il tuo corso, e lascia dir le genti." (Go your own
> way and let people talk.) -- Karl, paraphrasing Dante.
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