Alternatives: the right medicine for your portfolio?
Doody, D.
Healthcare Financial Management Journal of the Healthcare Financial Management Association 60(1): 116-118
2006
ISSN/ISBN: 0735-0732 PMID: 16433394 Document Number: 596883
Because they often play an active role in developing their portfolio companies' strategies, private capital investment managers can add significant value to companies in their portfolio. The relative inefficiency of private capital markets can give savvy investors an edge that they can not so easily gain in the more efficient public markets. Originally created as a means to reduce volatility, hedge funds should not be seen as the high-risk bets that they are widely perceived to be. Most hedge funds actually are concerned with protecting downside risk.