The Strategic Listing Decisions of Hedge Funds

B-Tier
Journal: Journal of Financial and Quantitative Analysis
Year: 2014
Volume: 49
Issue: 3
Pages: 773-796

Authors (2)

Jorion, Philippe (University of California-Irvin...) Schwarz, Christopher (not in RePEc)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The voluntary nature of hedge fund database reporting creates strategic listing opportunities for hedge funds. However, little is known about how managers list funds across multiple databases or whether investors are fooled by funds’ listing decisions. In this paper, we find that hedge funds strategically list their small, best-performing funds in multiple outlets immediately while preserving the option to list their other funds in additional databases later. We generally find that investors react rationally to these fund listings based on the predictability of performance. Finally, our results lead to specific guidelines on handling backfilled returns to minimize biases.

Technical Details

RePEc Handle
repec:cup:jfinqa:v:49:y:2014:i:03:p:773-796_00
Journal Field
Finance
Author Count
2
Added to Database
2026-01-25