Pensions and Retirement Training Course on Hedge Funds and Absolute Return Strategies
Master Pensions Retirement Training with expert training. 10 Days course with certification. Comprehensive training program. Online & in-person. Enroll now!
Pensions And Retirement Courses10 DaysCertificate Included
Duration
10 Days
Mode
Online & Physical
Certificate
Included
Language
English
Course Overview
This course equips pension fund professionals with the knowledge and practical tools to understand, evaluate, and integrate hedge funds and absolute return strategies into pension portfolios. Participants will explore investment structures, risk-return profiles, manager selection, performance measurement, and governance frameworks associated with alternative strategies. The course combines quantitative modeling, case studies, and hands-on exercises to ensure that participants can make informed decisions on absolute return investments while managing risk and meeting fiduciary responsibilities.
Secure enrollment • Professional certificate included
Learning Objectives
By the end of this course, participants will be able to:
Understand the objectives and characteristics of hedge funds and absolute return strategies.
Evaluate the risk-return profile of various hedge fund strategies (equity long/short, global macro, event-driven, relative value, etc.).
Conduct due diligence and select appropriate hedge fund managers.
Assess portfolio fit and diversification benefits of absolute return strategies.
Analyze fee structures, incentive schemes, and contractual terms.
Implement performance measurement and attribution for hedge fund investments.
Understand liquidity considerations and operational risks.
Integrate hedge funds into multi-asset pension portfolios.
Establish governance and reporting frameworks for alternative strategies.
Ensure compliance with regulatory and fiduciary standards in alternative investments.
Course Content
Module 1: Introduction to Hedge Funds and Absolute Return Strategies Overview of alternative investments and absolute return objectives Hedge fund types: equity, macro, event-driven, relative value, multi-strategy Role of hedge funds in pension fund portfolios Historical performance and risk-return characteristics Case study: Pension fund allocation to absolute return strategies
Module 2: Hedge Fund Structures and Investment Mechanics Fund structures: limited partnerships, feeder funds, master-feeder structures Investment mandates, liquidity terms, and redemption policies Leverage, short selling, derivatives, and portfolio hedging Operational and legal considerations Workshop: Comparing hedge fund structures for portfolio integration Module 3: Risk and Return Characteristics Risk factors: market, credit, liquidity, operational, and strategy-specific risks Measuring risk-adjusted returns: Sharpe ratio, Sortino ratio, alpha, beta Correlation and diversification benefits in multi-asset portfolios Stress testing hedge fund exposures Practical exercise: Risk-return analysis of sample hedge fund portfolios
Module 4: Due Diligence and Manager Selection Qualitative and quantitative due diligence process Assessing team, strategy, track record, and operational controls Evaluating risk management frameworks ESG and sustainability considerations in alternative investments Case study: Conducting a hedge fund manager due diligence review
Module 5: Performance Measurement and Attribution Absolute vs relative return evaluation Attribution analysis by strategy, asset class, and manager Benchmarking challenges for hedge funds and absolute return strategies Monitoring ongoing performance and risk-adjusted returns Workshop: Performance attribution for a multi-manager hedge fund portfolio Module 6: Fee Structures and Cost Management Management fees, performance fees, and high-water marks Impact of fees on net returns and portfolio performance Negotiating terms and understanding fee transparency Practical exercise: Calculating the net impact of fees on returns Module 7: Liquidity and Operational Risk Management Liquidity challenges in hedge funds and alternative strategies Operational and counterparty risk mitigation Fund governance and oversight Case study: Managing redemption and liquidity risk in pension fund allocations Module 8: Portfolio Construction and Integration Allocating hedge funds within multi-asset pension portfolios Strategic vs tactical integration of absolute return strategies Asset allocation optimization under risk and liquidity constraints Workshop: Constructing a pension portfolio with absolute return components Module 9: Governance, Reporting, and Compliance Trustee oversight and governance frameworks Regulatory compliance and fiduciary responsibilities Reporting and transparency requirements Best practices in monitoring alternative investments Case study: Effective governance in hedge fund allocation for pension funds Module 10: Capstone Project and Practical Application Designing a comprehensive absolute return strategy for a pension portfolio Performing risk, return, and liquidity analysis Integrating governance, reporting, and performance monitoring frameworks Group presentations and peer review of strategy proposals Capstone deliverable: Complete hedge fund and absolute return strategy plan
Who Should Attend
Pension fund trustees, investment officers, portfolio managers, alternative investment analysts, risk managers, compliance officers, and consultants involved in alternative investments and absolute return strategies.
