Due diligence is a critical
requirement for investing in the hedge fund market. The scale and
complexity of investment strategy risks, the diversity of investment
instruments, the demands on operational infrastructure, and a lack of
transparency regarding portfolios all require that investors perform
substantial due diligence on an ongoing basis.
The formal review involves an
interview with the hedge fund manager regarding the fund's style purity,
trading strategy and practices, infrastructure, and operations.
An initial due diligence examination of the track record, operating
setup, strategy, and personnel of the fund to determine, among other
things, the quality of management, the nature of the trading strategy
used, risk management, operating controls, and the likely capacity of
the fund to accept further investment.
Working full time for UBS AG,
the services provided by Hedge Fund Profiler are inactive at the moment.