It is clear we still have some way to go to dispel some persistent myths around hedge funds. Last week, Steven Nathan, the CEO of prominent investment management firm 10X, which specialises in low-cost, passive investment products, made a number of misleading comments about the SA hedge fund industry.
In the FM (February 21-27), Nathan is quoted as saying that “transparency of reporting … is seldom available”, that the reported numbers “greatly overstate the returns achieved” and that “performance data for hedge funds is highly unreliable”. This is all factually incorrect. Read more