RT Journal Article
SR Electronic
T1 Hedge Funds with Style
JF The Journal of Portfolio Management
FD Institutional Investor Journals
SP 101
OP 112
DO 10.3905/jpm.2003.319877
VO 29
IS 2
A1 Stephen J. Brown
A1 William N. Goetzmann
YR 2003
UL https://pm-research.com/content/29/2/101.abstract
AB The popular perception is that hedge funds follow a reasonably well-defined market-neutral investment style. Investigation of the monthly return history of hedge funds over 1989–2000, however, finds there are in fact distinct styles of management that account for about 20% of the cross-sectional variability in performance. This result is consistent across the years in the sample and robust as to the way investment style is determined. Appropriate style analysis and style management are crucial to success for investors looking to invest in hedge funds.