Summary and Outlook
This chapter was intended to provide a foundation to facilitate a basic understanding of the nature of the multistrategy, fund of hedge fund, and alternative replication products. Each product provides investors with an alternative to investing in single managers or constructing their own portfolios. There has been growth in all three products since the turn of the millennium. Initially, the FoF product grew the quickest; however, since 2008, both multistrategy funds and replication products have outpaced the growth of FoFs. The FoF product has been in decline since 2008 and today is still struggling to regain its previous momentum.
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