Chapter 21: Alternative Investments: Strategies and Performance

In this section

• 21.1 Alternative Investment Strategies
  • 21.1.1 Long/Short Equity
    A thorough exploration of the Long/Short Equity strategy as an alternative investment approach, including strategy overview, risk and return profile, and strategic implementation.
  • 21.1.2 Market Neutral
    Exploring the intricacies of market neutral strategies, focusing on balancing risk and managing volatility within the realm of alternative investment strategies.
  • 21.1.3 Global Macro
    An in-depth exploration of the Global Macro investment strategy within the realm of alternative investments, emphasizing macroeconomic trends and its inherently flexible and opportunistic nature.
  • 21.1.4 Event-Driven
    An in-depth exploration of event-driven alternative investment strategies focusing on corporate events and the associated risk considerations.
  • 21.1.5 Distressed Securities
    Understanding the intricacies and strategies of investing in distressed securities.
• 21.2 Alternative Strategy Fund Performance Measurement
  • 21.2.1 Performance Metrics
    An in-depth exploration of performance metrics used to evaluate the success of alternative strategy funds, focusing on Alpha generation and Beta volatility.
  • 21.2.2 Risk-Adjusted Returns
    Exploration of risk-adjusted return metrics, focusing on their application within alternative investment strategies, and providing insights into Sharpe and Sortino ratios.
  • 21.2.3 Benchmarking and Peer Analysis
    Understanding the role of benchmarking and peer analysis in evaluating the performance of alternative strategy funds, essential for effective performance measurement and investor decision-making.
• 21.3 Due Diligence and Suitability of Alternative Strategies
  • 21.3.1 Conducting Due Diligence
    A comprehensive guide to conducting due diligence on alternative investment strategies.
  • 21.3.2 Suitability Assessment
    Thorough evaluation process to ensure that alternative investment strategies are suitable for the investor's profile and meet all legal and compliance standards.
  • 21.3.3 Continuous Monitoring
    An in-depth exploration of how performance monitoring and periodic reviews ensure the ongoing suitability and effectiveness of alternative investment strategies.
  • 21.3.4 Transparency and Communication
    Understanding the importance of transparency and communication in alternative investment strategies, including reporting standards and investor education.