Apr 02, 2012
In professional settings, seven years is considered enough time to constitute a relevant performance comparison because it usually encompasses different kinds of markets.
Recently there has been press about how hedge funds did not beat Treasury Bills during the last cycle. We will not be so kind. A 60-40 stock-bond index is a reasonable comparison benchmark. Yes, it is U.S. based but it is a very plain-vanilla option and it is not considered an especially difficult benchmark to beat over the longer-term so this is not exactly an unfair comparison.
Next Blog: Q1 2012 Index Ranks vs History Chart
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