Hedge Fund Analysis Software
Traditional Returns-Based Style Analysis (RBSA) has been relatively ineffective in the analysis of alternative investments - leaving a gap in due diligence efforts of Hedge Fund of Funds Managers. In response, MPI has developed a solution to this problem - Dynamic Style Analysis (DSA) - a patented pattern recognition technology that represents the first significant advance in this area since RBSA was first developed by Sharpe in 1992.
With DSA, MPI Solves the Needs of the Hedge Fund Professional:
- Address risk management and/or fiduciary needs in an incredibly cost-effective way
- Effectively reconcile manager performance with disclosed strategy
- Uncover more information on underlying style, leverage and shorting than was thought possible
- Assess the predictiveness and validity of analyses
- Backtest the ability to predictively replicate the strategy with one click
- Seamlessly integrate multiple third-party and/or proprietary data sources
- Use MPI's returns-based VaR technology to assess risk and test historical accuracy of the model
- Create and analyze model or fund-specific portfolios in mean-variance optimizer
- Easily select and monitor managers with MPI's visual database search engine
- Automate repetitive reporting processes to save time and money
- Incorporate almost any kind of data into analysis and reports (qualitative, holdings-based, returns-based, etc.)
- Design almost any kind of custom report desired with MPI's easy to use template-based approach
Advantages of MPI Hedge Fund Technology
- Superior Accuracy
- Proprietary Cross Validation
- Detection of Shifts in Portfolio Strategy
- Protection from Spurious Correlations
- Detect Leverage
- Analyze Products with Limited Histories
MPI Products for Hedge Fund Analysis
MPI Reports / Analysis
- Monitoring Daily Hedge Fund Performance When Only Monthly Data is Available
- Madoff: A Tale of Two Funds
- The Law of Large Numbers: An Analysis of the Renaissance Fund
- It's in the Numbers - How Proper Analysis of Returns can be a Crystal Ball
- Recent Trends in Hedge Fund Market Exposure
- Why Would One Invest in an Outlier?
- Seeing Through Walls - Bringing Greater Transparency to Hedge Fund Analysis
MPI in Hedge Fund News
- Barron's - "Hedge or Mutual Fund?"
- Dow Jones - "Galleon Fund's Big July 2006 Gain Coincided With ATI Buyout"
- Pensions & Investments - "The similarities between Pearl Harbor and Bernie Madoff"
- Economist - "Con of the Century"
- New York Times - "In Fraud Case, Middlemen in Spotlight"
- Opalesque - "MPI's reverse engineering of hedge fund portfolios and its ability to provide new insight to firms considering the risk management and replication possibilities of funds"
- The Financial Times - "Lifting the lid on hedge fund risks"
- HedgeWorld - "2006 Hedge Fund Outlook"
- CNN/Money - "Hedge Funds Headed for a Fall"
- InvestmentNews - "Bayou Collapse Sends a Warning Signal"
- The Economist - "In the Garden of Good and Evil"
- HedgeWorld - "Can Style Analysis Act as Early Warning System for Hedge Funds"
MPI Hedge Fund Presentations
- "Forensic Analysis of Hedge Funds - Detecting Leverage and Fraud" - The Homeland Security Center for Dynamic Data Analysis (DyDAn), May 2007
- "Dynamic Style Analysis - the key to understanding and replicating hedge fund strategies" - Hedge Fund Replication and Alternative Beta, London, January 2007
- "The Race to Rate Hedge Funds" - Alternative Investing Summit, April 2006
- "New Frontiers in Hedge Fund Due Diligence" - Alternative Investing Summit West, December 2005
- "Improving Hedge Fund Due Diligence - Detecting Leverage, Skill and Fraud using Dynamic Style Analysis" - Alternative Investing Summit East, April 2005
- "A Workshop in Hedge Fund Analysis" - MPT Forum, Tokyo, June 2004
- "Understanding Hedge Funds" - Pension Investing Conference, Tokyo, October 2002