Fund-specific determinants of hedge funds – example of Man Group

To evaluate hedge fund performance, managers are obliged to follow the trend of the return at any cost. This could be practically done by focusing on fund-specific indicators. Fund-specific indicators offer better understanding of how hedge funds perform since their parameters consist of balance positions from balance sheet and income statement. Furthermore, the data used for the research (AUM, return and incentive fees) is mostly taken from the balance sheet and income statement, except for NAV, whose data is taken from CompaniesMarketCap. This research raises a question on whether and to what extent NAV, AUM and incentive fees affect return. The study covers the hedge fund Man Group which is situated in the United Kingdom and data set covers the 2015-2024 period. By using log-log regression model, results show that NAV and AUM positively affect return, whereas the incentive fees do not have an impact on return.