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Basic Question 6 of 9
Hedge fund managers with higher returns and lower risks are more likely to report returns to database providers. This leads to:
B. Selection bias.
C. Incubation bias.
A. Survivorship bias.
B. Selection bias.
C. Incubation bias.
User Contributed Comments 2
| User | Comment |
|---|---|
| johntan1979 | A is more about the disappearing of poor-performers |
| ankurwa10 | Selection - to choose, you end up choosing the wrong kind of HFs |
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Martin Rockenfeldt
Learning Outcome Statements
calculate and interpret alternative investment returns both before and after fees
CFA® 2025 Level I Curriculum, Volume 5, Module 2.