Discussion: Hedge Funds
Respond to the following:
i) Predict two ways that the hedge fund incentive fee may affect a manager's proclivity to take on high-risk assets in the portfolio. Support your prediction.
ii) Provide two reasons why it is more difficult to assess the performance of a hedge fund portfolio manager than it is to assess the performance a typical mutual fund manager.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.