Bigger isn’t always better – especially when it comes to hedge fund performance.
PivotalPath CEO Jon Caplis recently shared new research withInstitutional Investor, revealing that smaller managers generally outperform their larger counterparts.
While there may be exceptions on the sub-strategy level – think multi-manager platforms and big quant shops – for the industry at large, this year is “so monotonic. The larger you are the worse you do. The smaller you are, the better. It’s never that clear,” observes Caplis.