| Hedge funds managed by women get 50% higher returns |
|
The global crisis served several purposes. Questioning male supremacy in the capital market was one of them. Many have blamed the financial tsunami on the excess of men at the market’s leadership positions. A study by Bloomberg and the National Council for Research on Women (NCRW) is adding fuel to the fire. Analyzing data from over 9,000 hedge funds between January 2000 and May 2009, Women in Fund Management: A Road Map for Achieving Critical Mass – and Why it Matters discovered that investments managed by women obtained a mean annual return of 9%, while those captained by men achieved 5.8%. During the financial crisis, the mismatch was even greater: women’s performance was minus 9.6%; men saw their hedge funds plummet 19%. According to the researchers, women tend to be more consistent investors and hold on to assets for longer periods. At decision time, they analyze contradictory information and data more deeply. Even with these encouraging results, the study recognizes that there’s still a long way to go. In the United States, there is still a latent prejudice against the “fair sex”. The study concludes that a lot less money is invested in funds managed by women, even at similar risk aversion and return levels. |