Harry Kat seems to delight in denigrating hedge fund replication products.
The Dutch academic, who has a doctorate in economics and econometrics from the Tinbergen Graduate School of Business at the University of Amsterdam, thinks they’re too expensive.
He says the typical replicator, or clone, isn’t based on rocket science and that it consists of little more than a long position in the Russell 2000 index, a short position in the Standard & Poor’s 500 index, a few corporate bonds, a dash of emerging-markets equity and some...
