not as true as you think, particularly in the hedge fund world. there are plenty of funds out there which do a really excellent job (also note that index funds only give you equity risk and there are a lot of other things out there which you might want to be exposed to but which don't have index funds). Also, a lot of trackers ain't all that; unless you really know what you're doing, the everyday rebalancing of a tracker fund can eat you alive in commissions and slippage. The performance of some "index funds" is nothing short of embarrassing.
best dd -----Original Message----- From: PEN-L list [mailto:[EMAIL PROTECTED] Behalf Of Doug Henwood Sent: 10 September 2007 21:36 To: [email protected] Subject: Re: Hedge Fund Clones On Sep 10, 2007, at 4:27 PM, Daniel Davies wrote: > much cheaper fees basically. it's a product for people who want > exposure to > the kind of risk-return profile that hedge funds give you, but who > think > that the actual hedge funds are overcharging for what they do and > sucking > all the outperformance out in fees. Most people would be better off in an index fund. And by most people, I mean most professional money managers too. There aren't many Soroses, Buffets, or Swensens in this world. Doug
