September 5th, 2003, 9:32 am
Goma there is a software database called "pertrac" in their web site you can download a couple of examples of the kind of reports they produce. This will give you a rasonalble idea about what a FoHF looks at. Nevertheless you should be aware that different kind of investors looks at different things. You also should be aware that all alternative investments strategies, when inculded in a portfolio, are classified either as "return enhancers" or "diversifiers". While the analysis of the first group is basically bias towards risk-return, the second group focused much more in conditional correlations with traditional investments. Apart from that, the analysis is quite similar to that of mutual funds although a little bit more complex. There is also a non quantative analysis called "due dilligence" that consits in checking out basically operational, legal, firm and other risks. hope it helps,mencey