Simon Lack Says Hedge Fund Mirage Validated

Simon Lack, author of “The Hedge Fund Mirage,” feels vindicated that many hedge fund managers have embraced some of his original comments critical of the hedge fund industry.

In an interview with the Brandes Institute, the former CEO and founder of JPMorgan Incubator Funds, which provided investment funding to a variety of smaller hedge funds, says its almost cognitive dissonance for investors to ignore the impact of hedge fund size on returns. “Everything about past returns… overwhelmingly support (the thesis) that too much money hurts returns.”

Simon Lack: Historic returns of old school hedge fund investments

Simon Lack says that old school hedge fund investments made “during a period of time whose historic returns were generated” were...