Merits of funds of funds and indices called into question


Funds of funds cannot justify the high fees they charge, according to Tony Stocks, chief executive of Tennyson Capital Partners, a hedge fund research and consultancy firm based in London.

Speaking at the High-Performance Investment Symposium, he said index products and consultants provide cheaper alternatives with comparable performances.

John Godden, managing director of HFR in Chicago, countered, claiming that FoFs, indices and hedge funds serve distinct purposes, with FoFs useful first a