{"id":2008851,"date":"2014-11-22T11:41:41","date_gmt":"2014-11-22T06:11:41","guid":{"rendered":"http:\/\/stockviz.biz\/index.php\/?p=2008851"},"modified":"2014-11-22T11:59:56","modified_gmt":"2014-11-22T06:29:56","slug":"india-hedge-funds-perform-simple-momentum-strategy","status":"publish","type":"post","link":"https:\/\/stockviz.biz\/index.php\/2014\/11\/22\/india-hedge-funds-perform-simple-momentum-strategy\/","title":{"rendered":"India Hedge funds under-perform a simple Momentum strategy"},"content":{"rendered":"<div class=\"row-fluid well well-small\">\nLong\/short equity funds, which make up a bulk of the India-specific funds, are up 47% year-to-date.\n<\/div>\n<p>LiveMint recently ran an article, &#8220;India hedge funds outperform, but investors remain sceptical.&#8221; (<a href=\"http:\/\/www.livemint.com\/Money\/fYZSluH89vNCIqLJAYqIzN\/India-hedge-funds-outperform-but-investors-remain-skeptical.html\" target=\"_blank\">link<\/a>)<\/p>\n<p>I don&#8217;t have access to the report quoted in the article and I am not sure if the returns are after fees and profit-sharing. But what is surprising is that these funds under-performed a basic, un-levered, momentum strategy. In the same period, our <a href=\"http:\/\/stockviz.biz\/#\/theme\/equity\/d6663194-a965-4262-84f6-bb553b0b8998\" title=\"Momentum Investment Theme\" target=\"_blank\">Momentum 200 Theme<\/a> is up 61.54% and you can take all of it to the bank. <\/p>\n<p>If you are charging 2 and 20, you should do better. Besides, most of them haven&#8217;t been through a down-cycle. And yes, Momentum will totally get crushed in a down-cycle, but at least investors know what they are getting into. For all you know, hedge funds, being the black-boxes that they are, could be just long momentum. <\/p>\n<p>Turns out investor skepticism is warranted after all.<\/p>\n<p><a href=\"http:\/\/stockviz.biz\/#\/theme\/equity\/d6663194-a965-4262-84f6-bb553b0b8998\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/portalvhds29z8xdrqhczq.blob.core.windows.net\/wordpress\/2014\/11\/momentum.performance.png\" alt=\"momentum.performance\" width=\"1024\" height=\"768\" class=\"alignnone size-full wp-image-2008861\" srcset=\"https:\/\/portalvhds29z8xdrqhczq.blob.core.windows.net\/wordpress\/2014\/11\/momentum.performance.png 1024w, https:\/\/portalvhds29z8xdrqhczq.blob.core.windows.net\/wordpress\/2014\/11\/momentum.performance-300x225.png 300w, https:\/\/portalvhds29z8xdrqhczq.blob.core.windows.net\/wordpress\/2014\/11\/momentum.performance-400x300.png 400w, https:\/\/portalvhds29z8xdrqhczq.blob.core.windows.net\/wordpress\/2014\/11\/momentum.performance-900x675.png 900w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Long\/short equity funds, which make up a bulk of the India-specific funds, are up 47% year-to-date. LiveMint recently ran an article, &#8220;India hedge funds outperform, but investors remain sceptical.&#8221; (link) I don&#8217;t have access to the report quoted in the article and I am not sure if the returns are after fees and profit-sharing. But &hellip; <\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3471,9],"tags":[2541],"class_list":["post-2008851","post","type-post","status-publish","format-standard","hentry","category-investing-insight","category-your-money","tag-theme","entry"],"_links":{"self":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts\/2008851","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/comments?post=2008851"}],"version-history":[{"count":0,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/posts\/2008851\/revisions"}],"wp:attachment":[{"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/media?parent=2008851"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/categories?post=2008851"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stockviz.biz\/index.php\/wp-json\/wp\/v2\/tags?post=2008851"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}