This guide provides strategies for coping with volatile returns and profiting with this exciting new asset class. Specific topics include: Profiles of major funds; Historical performance of hedge funds; Hedge funds as a part of the institutional portfolio; Selecting a hedge fund manager; Legal, tax and accounting issues.



The first book on the subject, Hedge Funds explains the pros and cons of hedge funds and shows institutional investors how to allocate a portion of their assets with hedge fund managers. This thorough guide also provides strategies for coping with the biggest problem of hedge funds : volatility of returns. As part of the Asset Allocation series, Hedge Funds provides institutional investors with all the information they need to profit from this exciting new asset class.



This comprehensive, first-of-its kind guide will help you:

* structure a hedge fund investment portfolio

* Assess and minimize the risks of hedge fund investing

* Understand critical accounting, tax, legal, and regulatory issues

* Profiles of major funds

* Historical performance of hedge funds

* Hedge funds as a part of the institutional portfolio

* Selecting a hedge fund manager

* and much more



Contents:

1. Introduction : the model for superior performance



Part I. hedge funds in the investment portfolio

2. Institutional investment in hedge funds

3. Investing in hedge funds : investment policy implications

4. Structuring a hedge fund investment portfolio

5. Pros and cons of hedge fund investing for wealthy individuals

6. Assessing the risks of hedge fund investing



Part II. Understanding and evaluating key sectors of the hedge fund universe

7. Funds of funds

8. Custom hedge funds using long and short managers

9. Offshore funds

10. Track record length : the ins and outs of hedge fund size



Part III. Legal, accounting, and operational issues

11. Critical legal and regulatory issues

12. Critical accounting, tax, and systems issues

13. Unrelated business taxable income considerations for tax exempt investors in securities partnerships

14. Prime brokerage

Appendix : Profiling hedge fund styles

Index