Risk management at heart of Prima Capital FoHF success

12th Annual European Fund of Hedge Funds Awards 2013

long-short
Skill needed to pick best underlying managers for equity long/short FoHF

As the father of value investing, Benjamin Graham, once said: “The essence of investment management is the management of risk, not the management of returns.” Or, in the words of Dariush Aryeh, who manages the $718 million equity long/short Prima Capital Fund: “There is always someone ahead of us but our goal is to manage risk, not return.”

Management of the fund of hedge funds (FoHF) firmly focuses on downside protection. “This is especially important in long/short equity where, if the drawdowns