The fund’s current portfolio is invested primarily in public equities, with the remainder invested in fixed income. The fund’s investment objective is to support a 6% annual spending rate and to preserve the purchasing power of the asset base over a 10-year time horizon. The fund also wants to invest in assets that provide the highest amount of diversification against its dominant equity risk.
Q. Which asset class would best satisfy the Fund’s diversification strategy?
- Private equity
- Private real estate
- Absolute return hedge fund
C is correct. Absolute return hedge funds exhibit an equity beta that is often less than that of private equity or private real estate. Also, absolute return hedge funds tend to exhibit a high potential to diversify public equities, whereas equity long/short hedge funds exhibit a moderate potential to fulfill this role.
請問1.private real estate和commercial real estate的區別是什麽，課件在講role of alternative investment這快沒有private real estate
2.Absolute return hedge fund又是什麽，hedge fund strategy中沒有絕對收益HF啊
3.爲什麽Absolute return hedge fund比private real estate 分散性好
