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- W1967889095 abstract "1. Nelson Lacey 1. is a professor of finance at the Isenberg School of Management at the University of Massachusetts-Amherst in Amherst, MA. (nlacey{at}som.umass.edu) 2. Qiang Bu 1. is an assistant professor of finance at the School of Business Administration at Pennsylvania State University-Harrisburg in Middletown, PA. (qxb1{at}psu.edu) <!-- --> 1. To order reprints of this article, please contact Dewey Palmieri at dpalmieri{at}iijournals.com or 212-224-3675. Despite poor performance, bear market funds have been growing rapidly in recent years. The authors find that while bear funds exhibit timing ability, this surprisingly does not translate into enhanced return performance. They also find that bear funds tend to be risk-seeking at a time when market volatility is high. The results are consistent with viewing these funds not in the more traditional context of return maximization, but instead in the context of risk management. In other words, bear market funds decrease return volatility of the fund family at the cost of a slightly lower fund-family return. TOPICS: [Real assets/alternative investments/private equity][1], [risk management][2], [performance measurement][3], [financial crises and financial market history][4] [1]: https://www.pm-research.com/topic/real-assetsalternative-investmentsprivate-equity-0 [2]: https://www.pm-research.com/topic/risk-management-0 [3]: https://www.pm-research.com/topic/performance-measurement-0 [4]: https://www.pm-research.com/topic/financial-crises-and-financial-market-history" @default.
- W1967889095 created "2016-06-24" @default.
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- W1967889095 date "2010-09-30" @default.
- W1967889095 modified "2023-10-18" @default.
- W1967889095 title "On Understanding Bear Market Funds" @default.
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- W1967889095 doi "https://doi.org/10.3905/jai.2010.13.2.035" @default.
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