TY - JOUR T1 - Equity Market-Neutral Hedge Funds JF - The Journal of Wealth Management SP - 47 LP - 51 DO - 10.3905/jwm.2002.320433 VL - 5 IS - 1 AU - Edward Wright Y1 - 2002/04/30 UR - https://pm-research.com/content/5/1/47.abstract N2 - This exploration of equity market-neutral hedge fund strategies starts with a description of the mechanics of the strategy and then, observing that market-neutral strategies have not been particularly successful recently, investigates the key performance drivers. The author concludes that a focus on market volatility as the main driver of poor relative performance is misguided. Rather, a weakening of the traditional link between economic fundamentals and valuations is the main culprit. He therefore concludes that the time to add to equity market-neutral strategies must be when investors perceive that extremes of emotions have been addressed and a more predictable relationship between fundamental and market developments is reestablished. ER -