this question specified that the benchmark would be the median return of hedge funds that used a similar strategy therefore this is not the median manager’s universe benchmark because that type of benchmark doesn’t differentiate between strategies. suvivorship bias, backfill bias are definately correct. I’m not so sure about popularity bias because that would result in the mean return being skewed (assuming cap weighted benchmark). For a 3rd response I mentioned that not all hedge funds are open to new investors which would not allow a benchmark like this to make a true apples to apples comparison; Anyhow, who gives a f#$k at this point what’s the right or wrong answer…what’s done is done and there’s no sense in getting worked up over something u can’t control. Enjoy the summer…and on that note…I’m atta here for good! later!
young_professional Wrote: ------------------------------------------------------- > i put > not specified in advance - dont know who the media > is until after after what? you don’t know what the (future) average is in advance, do you? so what makes the difference in using median?
SAMURAI baby. way of the ninja
how much was this question worth? does anyone remember?
i also put -not specified in advance -not unambigious -not investable i thought this is taken directly out of a LOS, except added 1 word “hedge fund” i can’t believe this one word distracted so many people
since it asked about median manager benchmark I don’t think anything other than samurai were appropriate answers here.
Did anybody mention that Sharpe ratio is a potentially better way to evaluate hedge funds - will that garner any points?
Anybody remember how many points this question accounts for?
azzurri1975 Wrote: ------------------------------------------------------- > Did anybody mention that Sharpe ratio is a > potentially better way to evaluate hedge funds - > will that garner any points? that actually might get negative points
Jscott24 Wrote: ------------------------------------------------------- > azzurri1975 Wrote: > -------------------------------------------------- > ----- > > Did anybody mention that Sharpe ratio is a > > potentially better way to evaluate hedge funds > - > > will that garner any points? > > > that actually might get negative points Hahahahaha