Evidence for the Atlas Apprach
Hedge Funds
Alternative Investment Reality Check Series – Avoid Hedge Funds (Frier – January 2025)
In this video, our CIO Ken Frier takes a deep dive into hedge funds–and why it may be better to not invest in hedge funds at all.
Alternative Investments Reality Check Part 1: 7 Reasons Why Individual Investors Should Avoid Hedge Funds (Frier – April 2021)
Atlas Capital’s case against investing in Hedge Funds for individuals.
Hotel California: You Can Never Leave, Until You Are Asked To (Asness – September 2014)
Reviews the general drawbacks of hedge funds.
“. . .as a whole, hedge funds are too correlated to equity markets (too net long) . . . furthermore, in a very related observation, we believe most hedge funds are too expensive.”
National Bureau of Economic Research: Investment returns of non-profit endowment funds (Dahiya, Yermack – April 2021)
US non-profit endowments in 2009-2018 achieved investment returns which were consistently worse than could have been achieved with simple index portfolios.
Hedge Fund Performance: End of an Era? (Bollen, Joenvaara, Kauppila – July 2021)
Hedge Fund performance has hit a sharp decline since the 2008 financial crisis with suggestions that market changes, regulation, and strategy crowding may be to blame. Top-performing funds now struggle to beat a simple stock/bond mix, especially after accounting for risk and fees.