(Harvest) Reading through some of the mandates for hedge funds via Bloomberg can provide instant comedic relief…“Its strict requirement is that funds must have at least three years of 15 percent returns. The ratio of annual returns to maximum drawdown must be at least 1.5.” “The expected return of the manager is typically between 12 percent to 15 percent on a five year annualized basis. Managers with a maximum drawdown of 20 percent or more will be not considered.”
“Expects a return of 10 percent to 15 percent and drawdowns of no more than 5 percent to 10 percent.” “The investor has a very “high bar” preference and seeks returns that average over 18 percent. The firm is pedigree sensitive.” “The expected return on the long-short funds is about 10 percent to 15 percent.”
“Managers should have a strong pedigree and expect a return of at least 12 to 15 percent in the coming quarters.” “The firm generally targets returns of 15 percent and volatility should be 7 percent.” “Currently looking for energy hedge fund managers with net returns greater than 20 percent. Managers should have the “right pedigree” and not have a drawdown of greater than 15 percent.”
