How To Capture A Manager’s “Golden Hour”

Investment professionals, managers, and traders launch hedge funds to exploit perceived price inefficiencies in any market. Good managers launch and achieve exceptional performance figures. The performance attracts attention from the media, financial professionals, and other investors. Investors then subscribe, sending money to the fund. Over time, the fund’s alpha capability dissipates for a variety of reasons, and when this happens, it’s no longer the most efficient allocation of capital. How can investors determine when the “Golden Hour” ends and it’s time to place a redemption notice?
Continue reading “How To Capture A Manager’s “Golden Hour””