Hennessee Group’s annual survey of hedge fund investors showed 90% of respondents had investments that met or beat their expectations in 2000, up from 82% in 1999.
Hennessee attributes this level of satisfaction to the better overall performance of hedge funds compared with equities. The Hennessee Hedge Fund index was up 7.6% net of fees in 2000, compared with a -9.1% annualized return for the S&P 500 stock index.
The survey, which included institutional and high-net-worth individual investors, also indicated that in 2000, 36% of investors said transparency was mandatory before they would invest in a hedge fund, down from 39% in 1999.
