James Montier speech last Summer (HT: NG)
I’ve written a ton on how the hedge fund indexes are useless. Remember, you don’t want the beta of hedge funds (like all the ETF indexes – you want the alpha!!). Some more examples here:
Investable index: 13%
Non-Investable Index: 19% (and has underperformed every year the past 7 years!)
A great article here from my buddy Nick on arithmatic geometric returns, or, returns you can eat.