Ritholtz on Hedge Fund Mediocrity

According to Bloomberg columnist Barry Ritholtz, hedge funds are selling public pension funds “an inflated estimate of expected returns,” adding that “it is a challenge to explain why so much money has found its way to so much mediocre performance.” He cites findings reported by Bloomberg reflecting how “investment managers often share their lofty fees with placement agents who hawk the hedge funds….especially to pension funds. Some states have banned their pension plans from using… Read More