6 Hedge Fund Strategies to Put in Your Back Pocket

Hedge fund monkeying

Warren BuffettMonkeying involves piggybacking the stock picks of some of the better skilled hedge funds in order to generate returns. Among thousands of hedge funds, there are several that manage to outperform the market due to some particular skills of their managers. In this way, by following the activity of these hedge funds, the chance of having positive returns from an investment is possible.

However, the return is not the only metric that should be taken into account in “monkeying,” as there is the market risk of each hedge fund, or alpha; a positive alpha indicates true investing skill.  You can learn more about this hedge fund strategy here.