Tadas has a nice recap piece on the BIG news that Calpers is sending their hedge fund managers to the scrapyard.
But why so sad Calpers?
Well, the facts don’t lie. Here are the summary statistics for the following indices from 7/1/2004 to 7/31/2014:
- HFR Global Hedge Fund Index
- S&P 500 Total Return Index
- Russell 2000 Total Return Index
- 10-year Total Return Treasury Bond Index
Hedge funds have been the biggest sucker bet of the past 10 years and Calpers finally got the drift.
The invested growth chart:
The evidence above might help explain why Calpers made their all-star cast of overpaid dart throwers jump off a bridge.
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