Alternative Investment Strategies & Hedge Fund Management
Innovative Techniques for Diversified Alpha Generation and Risk Mitigation
Course Schedule
| Venue (InHouse) | Fees |
|---|---|
| At Your Organization Premises | Ask For The Quotation |
Course Introduction
This intensive 5-day training offers a comprehensive exploration of alternative investment strategies with a strong focus on hedge fund structures, styles, and performance metrics. Participants will gain practical knowledge of how hedge funds operate, the various strategies they employ (long/short equity, global macro, event-driven, etc.), and how to assess and integrate them into a diversified investment portfolio.
With growing demand for non-traditional assets in institutional and private wealth management, this program equips professionals with the analytical tools and risk management frameworks needed to evaluate hedge fund offerings and alternative strategies effectively.
Course Objectives
By the end of this course, participants will be able to:
- Understand the structure and operation of hedge funds and alternative vehicles
- Analyze various hedge fund strategies and their risk-return profiles
- Evaluate hedge fund performance using advanced metrics and benchmarks
- Understand due diligence and selection criteria for alternative investments
- Construct diversified portfolios incorporating alternative strategies for alpha generation
Key Benefits of Attending
- Gain insider-level knowledge of hedge fund mechanics and strategy design
- Learn how to compare hedge fund performance using appropriate metrics
- Improve your ability to perform due diligence on alternative fund managers
- Enhance your portfolio’s diversification and downside protection
- Stay informed about current trends and regulatory issues in the hedge fund space
Intended Audience
This program is designed for:
- Investment managers and analysts
- Family office and private wealth advisors
- Institutional investors and asset allocators
- Risk managers and compliance officers
- Financial professionals exploring hedge fund roles in diversified portfolios
Individual Benefits
Key competencies that will be developed include:
- Proficiency in hedge fund strategy analysis and selection
- Risk-adjusted performance evaluation and comparison
- Understanding of fund-of-hedge-funds and managed accounts
- Awareness of liquidity, fees, and operational risk issues
- Skills to integrate alternatives into traditional portfolios
Organization Benefits
Upon completing the training course, participants will demonstrate:
- Improved institutional due diligence capabilities
- Enhanced portfolio construction using alternative strategies
- Better understanding of alpha sources and risk mitigation techniques
- Ability to engage effectively with hedge fund managers and platforms
- Improved compliance and risk oversight of hedge fund allocations
Instructional Methdology
The course follows a blended learning approach combining theory with practice:
- Strategy Briefings – In-depth coverage of hedge fund styles, structures, and risk profiles
- Case Studies – Real-world analysis of fund failures, successes, and strategies
- Workshops – Practical exercises in portfolio design, performance attribution, and manager evaluation
- Peer Exchange – Group discussion on current hedge fund trends and investor challenges
- Tools – Due diligence templates, risk assessment models, and strategy comparison frameworks
Course Outline
DETAILED 5-DAY COURSE OUTLINE (Customizable)
Training Hours: 7:30 AM – 3:30 PM
Daily Format: 3–4 Learning Modules | Coffee breaks: 09:30 & 11:15 | Lunch Buffet: 01:00 – 02:00
Day 1: Foundations of Alternative Investments and Hedge Fund Ecosystem
- Module 1: Introduction to Alternative Investments (07:30 – 09:30)
- Overview of alternative asset classes
- Role in modern portfolio theory and diversification
- Investor motivations and evolving market trends
- Module 2: Hedge Fund Structures and Strategies (09:45 – 11:15)
- Legal structures, domicile, and regulation
- Fee models (2 and 20, hurdle rates, high water marks)
- Overview of major hedge fund styles
- Module 3: Hedge Fund Ecosystem and Stakeholders (11:30 – 01:00)
- Fund managers, investors, prime brokers, and custodians
- Platforms, databases, and fund administration
- Trends in hedge fund launches and closures
Day 2: Core Hedge Fund Strategies and Performance Analysis
- Module 1: Long/Short Equity and Market Neutral (07:30 – 09:30)
- Strategy mechanics and performance drivers
- Risk management and leverage considerations
- Real-world case studies
- Module 2: Global Macro and Managed Futures (09:45 – 11:15)
- Use of derivatives, currencies, and commodities
- Systematic vs. discretionary macro strategies
- CTA funds and trend-following models
- Module 3: Event-Driven and Distressed Strategies (11:30 – 01:00)
- Merger arbitrage, special situations, and activism
- Legal and timing risks in event-driven investing
- Case examples and risk-return profiles
Day 3: Hedge Fund Performance Evaluation and Risk Metrics
- Module 1: Performance Attribution and Benchmarks (07:30 – 09:30)
- Absolute vs. relative return benchmarks
- Rolling returns, drawdowns, and volatility measures
- Custom hedge fund indices
- Module 2: Risk-Adjusted Metrics (09:45 – 11:15)
- Sharpe ratio, Sortino ratio, and alpha/beta attribution
- Maximum drawdown, Value-at-Risk, and Omega ratio
- Style analysis and factor models
- Module 3: Due Diligence and Operational Risk (11:30 – 01:00)
- Manager background checks and track record evaluation
- Legal, audit, and reporting considerations
- Red flags in fund documentation and operations
Day 4: Portfolio Integration and Advanced Topics
- Module 1: Hedge Fund Portfolio Construction (07:30 – 09:30)
- Strategy blending for diversification and alpha
- Liquidity layering and cash flow management
- Fund-of-funds vs. direct investments
- Module 2: Hedge Fund Replication and Liquid Alternatives (09:45 – 11:15)
- Synthetic hedge fund strategies using ETFs
- Mutual fund versions of hedge fund strategies
- Pros and cons of replicators
- Module 3: ESG and Regulation in Hedge Funds (11:30 – 01:00)
- ESG integration trends in alternative investments
- Regulatory updates (AIFMD, SEC, FATCA)
- Impact of transparency and investor activism
Day 5: Practical Applications and Investor Strategy Development
- Module 1: Investor Case Study: Portfolio Rebalancing (07:30 – 09:30)
- Scenario-based fund selection and allocation
- Building alternative sleeves for institutional portfolios
- Managing drawdown protection and alpha capture
- Module 2: Manager Selection and Monitoring (09:45 – 11:15)
- Interviews, questionnaires, and ongoing monitoring tools
- Common mistakes in hedge fund investing
- Building a hedge fund approval committee process
- Module 3: Group Exercise & Final Review (11:30 – 01:00)
- Fund evaluation and pitch simulation
- Group presentations and feedback session
- Wrap-up, Q&A, and certificate distribution
Certification
Participants will receive a Certificate of Completion in Alternative Investment Strategies & Hedge Fund Management, validating their advanced proficiency in evaluating, selecting, and integrating hedge fund strategies into institutional and private investment portfolios.