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Smaller Hedge Funds Outperform, But Allocators Are Staying Away

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Rupert Hargreaves
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When it comes to hedge fund performance, smaller tends to be better.

Q1 hedge fund letters, conference, scoops etc

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A study released in April 2016, compiled by researchers Chao Gao and Chengdong Yin from Purdue University's Krannert School of Management, and Tim Haight of Loyola Marymount University, found that on average, large of funds returned as 0.61% per month, on average, below the monthly return of 0.75% for funds in the bottom decile of assets.

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Sign up now and get our in-depth FREE e-books on famous investors like Klarman, Dalio, Schloss, Munger Rupert is a committed value investor and regularly writes and invests following the principles set out by Benjamin Graham. He is the editor and co-owner of Hidden Value Stocks, a quarterly investment newsletter aimed at institutional investors. Rupert owns shares in Berkshire Hathaway. Rupert holds qualifications from the Chartered Institute For Securities & Investment and the CFA Society of the UK. Rupert covers everything value investing for Hedge Fund Alpha