1. Reporting & Transparency (85% of institutional investors reported that they would not invest in a strategy they did not understand)
2. Institutional Quality Infrastructure and Operations (54% of institutional investors pointed out that better managed firms return higher performance) People. Build stable hedge fund management teams At all levels the hedge fund company
3. Shift away from focusing exclusively on performance to investment disciplines The white paper concludes by stating:
4.The take-away message is that institutions clearly prefer to do business with institutional-style organizations," concluded Schaeffer. "For hedge funds, the challenge will be to fit the profile of an institutional-quality fund while preserving the performance attributes that attracted major investors in the first place."
felix@oshedge.com