This is an example of professional journalism in finance I want to cynically highlight, but actually hugely disturbing about the print-industry rather than the journalists .
"Hedge funds are in a 'vicious downward cycle'" means cash investors' / savers' investment is not compounding. The hedge fund owners themselves are quarterly or by other cycle continuing to make money, even with under-performance via some of the highest management fees in the fund / asset management sector.
As hedge funds are meant to be unique 'edgy' investment vehicles e.g.overweight and concentrated in a stock etc. The fact that collective data about hedge funds " favorite stocks" suggests they are the same as mutual funds, i.e. stock-pickers. The differentiation is minimal in performance and other aspects; apart from the reward-structure to hedge-fund owners and other legal aspects such as off-shore registration. This trend in the parlance is called "convergence of mutual and hedge funds".
Final analysis of the intenionally loaded-headline [my jargon], are the negativity of these to terms: "vicious downward cycle" and "favorite stocks badly trail market". Are readers expected feel sympathy for millionnaire and billionnaire hedge-fund owners, and/or is the headline intended to lower expectations about their performance for the investors (without yachts)? Sadly both reads-between-the-line are true.
Submitted November 22, 2018 at 10:06AM by LineBallTennis https://ift.tt/2PQYeUD
