| dc.description.abstract | This paper is a meta-analysis of several hedge fund studies. In this paper, I look at the different metrics used to analyze risk and return of hedge funds. After looking at these metrics, I analyze hedge fund risk and return using traditional market risk and return metrics like beta, Sharpe ratio, standard deviation, etc. From my study, I have found that hedge fund indices replicating the entire hedge fund industry do not provide superior returns to an investor’s portfolio on a risk adjusted basis. Hedge funds may outperform the board market index in the short run, but in the long run, the market will outperform the hedge fund index on a risk adjusted basis. | |
