The Evolving Role of Risk Management In the Hedge Fund World

Alternative investments have grown into an industry with more than $400 billion invested in its products, with a projected annual growth rate of 26 percent1. Institutions have become the industry's largest client base and greatest potential source of additional assets. Technology and information systems, initially high-cost items, are now much cheaper or provided at cost as part of the clearing agreements signed with the industry's prime brokers.

Several isolated, highly publicized fund