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I think performance relative to the market is irrelevant to the strategy.

making a profit /= beating the market. People invest in hedge funds all the time that under-perform the market. In this case, the sucker fund just sucks a little more than usual. while the sucker fund under-performs the market, the firm also looks like hot shit because the winner fund is the most profitable fund on earth.



> People invest in hedge funds all the time that under-perform the market.

This is perfectly true. I guess it was aptly named the "Sucker" fund in our discussion.




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