Course Overview

Hedge Funds are becoming an integral part of an increasing number of institutional portfolios. However, the understanding of this often opaque asset class is limited at best.

This course will explain what hedge funds actually do, why there has been an exponential growth over the last ten years and whether this will continue or is just a passing phase. It will look at the many different strategies that hedge funds employ and explain in an entertaining way the jargon jungle of terms that can easily baffle.

The course will address the characteristics of a good hedge fund and what the warning flags for disasters are.

At the end of the course participants will have an understanding of the industry and be in a significantly better position to make an informed decision about their potential involvement in this exciting arena.

Course Content

Background & Overview
What is a Hedge fund?
Why have they developed over the last 10 years?
Where will they go next?

Investors
Who wants to invest in a Hedge Fund and why?
Pension Funds
Insurance Companies
Private Banks

Jargon Busting
What is an “Alternative Investment”?
Beta vs Alpha
Correlation
Liability Driven Investment
Leverage

Hedge Fund Strategies
A look at all (or most of) the different strategies

The Good, the Bad and the Ugly
What makes a good Hedge Fund?
What should we avoid?
Why is one strategy better than another?

Fund of Hedge Funds
Where did they come from?
Are the extra fees worth it?
The benefits of a balanced portfolio
How do they earn their feest?

Case Study

Comparing and contrast three Hedge Funds. The seminar will review three hedge funds and try to determine the strengths and weaknesses of all of them, with a view to determining the most suitable investment.