There are a handful of investments that are completely polarizing. There’s no middle ground for assets or strategies like gold or technical analysis. You either love them or you hate them. On similar lines, you can add hedge funds to that list.
Proponents say the pools of capital that pretty much have carte blanche to bet on anything, in any matter, add plenty of extra returns and diversification to a portfolio. The opponents say they aren’t worth their high fees and should be ignored. And so far, the hedge fund haters have been correct. Hedge funds have had a rough decade or so since the Great Recession.
However, hedge funds may be having the last laugh. Lately, the sector is back to its old tricks, which poses a question for investors: Are hedge funds worth having in your portfolio?
