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Italian Hedge funds’ performance and contractual arrangements

Italian Hedge funds’ performance and contractual arrangements

Through a research based on a sample of 52 Italian hedge funds in the 2006-2010 period, the role of managerial incentives and discretion in hedge fund performances is analyzed. The study’s results contradict those achieved by Agarwal, Daniel and Naik in 2009, by demonstrating that in Italy the presence of particular contractual arrangements is not a criterion to discriminate between skilled and non-skilled fund managers