Hedge Fund-of-Funds Universe Definitions

CAI Hedge Fund-of-Funds Database Group
The Hedge Fund-of-Funds Database Group consists of fund-of-funds managers without consideration of investment style.

CAI Absolute Return Group
The Absolute Return Group represents those fund-of-funds that primarily invest in relative value and event driven strategies, with typically less than 20% of fund assets allocated to long-short equity or other directional strategies.

CAI Broadly Diversified Group
The Broadly Diversified Group is a collection of those fund-of-funds offering a well-diversified combination of styles, where at least 20% is consistently allocated to both absolute return and long-short equity strategies.

CAI Long-Short Group
The Long-Short Group represents fund-of-funds that primarily allocate to long-short equity, global macro, and other directional strategies, with roughly 20% or less of fund assets allocated to absolute return-like strategies.