If the emerging absolute-return exchange-traded funds succeed in delivering outsized returns at low cost, the one-two punch to the traditional mutual fund industry could gain steam, The Wall Street Journal reports.
One U.K. hedge fund manager,
These funds have the added benefit of offering daily liquidity, as they invest primarily in large-cap stocks traded on major exchanges. The six top-performing absolute-return hedge funds have delivered an average of 10.9% each year since their launch.