New standards dampen hedge fund performance

Regulation and institutionalisation of hedge funds has contributed to mediocre returns, but investors prepared to deviate from the crowd should be able to find strong performers, says Hugh Forward, managing director of New York-based Cross Border Alternatives. Hedge fund investors “want the latest and greatest and hottest thing in Asia”, notes Forward. Inevitably this leads them to the region’s billion-dollar funds, which are not always the best-performing strategies. Few invest…