A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry
This study aims to investigate the performance of hedge funds and their risk-return characteristics and benefits. We will investigate the possible diversification benefits of hedge funds as returns have shown too often to have low correlations with other financial assets and they also are said to of...
| Main Author: | |
|---|---|
| Format: | Dissertation (University of Nottingham only) |
| Language: | English |
| Published: |
2012
|
| Online Access: | https://eprints.nottingham.ac.uk/26208/ |
| _version_ | 1848793130720034816 |
|---|---|
| author | Hamza, Noormohamed |
| author_facet | Hamza, Noormohamed |
| author_sort | Hamza, Noormohamed |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | This study aims to investigate the performance of hedge funds and their risk-return characteristics and benefits. We will investigate the possible diversification benefits of hedge funds as returns have shown too often to have low correlations with other financial assets and they also are said to offer higher returns for comparatively lower risk. Thus, we will use regression analysis to determine the hedge fund industries relation with our market proxy, the S&P 500. Performance ratios and other statistical methods are used to evaluate the industry further. The results show that there is evidence of the value added by hedge funds and their performance does indeed make them beneficial in risk diversification for portfolios. However, the results are less conclusive because of the biases that are inherent in the data and in the industry as a whole. |
| first_indexed | 2025-11-14T18:55:25Z |
| format | Dissertation (University of Nottingham only) |
| id | nottingham-26208 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T18:55:25Z |
| publishDate | 2012 |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-262082017-10-19T13:22:02Z https://eprints.nottingham.ac.uk/26208/ A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry Hamza, Noormohamed This study aims to investigate the performance of hedge funds and their risk-return characteristics and benefits. We will investigate the possible diversification benefits of hedge funds as returns have shown too often to have low correlations with other financial assets and they also are said to offer higher returns for comparatively lower risk. Thus, we will use regression analysis to determine the hedge fund industries relation with our market proxy, the S&P 500. Performance ratios and other statistical methods are used to evaluate the industry further. The results show that there is evidence of the value added by hedge funds and their performance does indeed make them beneficial in risk diversification for portfolios. However, the results are less conclusive because of the biases that are inherent in the data and in the industry as a whole. 2012-11-12 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/26208/1/HamzaNoormohamedDissertation.pdf Hamza, Noormohamed (2012) A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry. [Dissertation (University of Nottingham only)] (Unpublished) |
| spellingShingle | Hamza, Noormohamed A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry |
| title | A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry |
| title_full | A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry |
| title_fullStr | A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry |
| title_full_unstemmed | A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry |
| title_short | A Study on the Performance and Risk-Return Characteristics of the Hedge Fund Industry |
| title_sort | study on the performance and risk-return characteristics of the hedge fund industry |
| url | https://eprints.nottingham.ac.uk/26208/ |