{"id":7862,"date":"2008-06-10T00:00:00","date_gmt":"2008-06-10T00:00:00","guid":{"rendered":""},"modified":"-0001-11-30T00:00:00","modified_gmt":"-0001-11-30T04:00:00","slug":"buffett-bets-on-the-sp-500-to-beat-a-fund-of-hedge-funds","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/06\/2008\/buffett-bets-on-the-sp-500-to-beat-a-fund-of-hedge-funds.html","title":{"rendered":"Buffett bets on the S&#038;P 500 to beat a fund-of-hedge-funds"},"content":{"rendered":"<p>Los Angeles Times &#8211; The hedge fund industry can only exist because investors believe their fund managers will deliver above-average returns over time, despite the portfolios&rsquo; hefty fees.<\/p>\n<p>Master investor Warren Buffett, who has long derided those fees, now has made an interesting bet with a firm that runs so-called funds-of-hedge-funds: He&rsquo;ll beat their net returns over the next decade simply by owning a mutual fund that tracks the Standard &amp; Poor&rsquo;s 500 index.<\/p>\n<p>The bet is the subject of this article in Fortune magazine by Buffett&rsquo;s long-time friend, writer Carol Loomis.<\/p>\n<p>Buffett is going up against Prot&eacute;g&eacute; Partners LLC, a New York-based money manager that picks hedge funds for its clients.<\/p>\n<p>Loomis writes: &quot;Each side put up roughly $320,000. The total funds of about $640,000 were used to buy a zero-coupon Treasury bond that will be worth $1 million at the bet&rsquo;s conclusion.&quot; Whichever side wins, the proceeds will go to charity.<\/p>\n<p><a href=\"http:\/\/latimesblogs.latimes.com\/money_co\/2008\/06\/the-hedge-fund.html\" target=\"_self\">Read Complete Article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Los Angeles Times &#8211; The hedge fund industry can only exist because investors believe their fund managers will deliver above-average returns over time, despite the portfolios&rsquo; hefty fees. Master investor Warren Buffett, who has long derided those fees, now has [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8,4],"tags":[116,738,79,509,171,739,115,740,81,77,372,737],"class_list":["post-7862","post","type-post","status-publish","format-standard","hentry","category-fund-of-funds","category-syndicated","tag-combination-of-the-two","tag-e-shaw","tag-eaton","tag-federal-reserve","tag-gaap","tag-government-entity","tag-indefinite-period","tag-lng","tag-newcastle","tag-sister-sites","tag-weather-derivatives","tag-wilbur-ross"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/7862","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=7862"}],"version-history":[{"count":0,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/7862\/revisions"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=7862"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=7862"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=7862"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}