Article by Singapore-based professor Melvyn Teo in which he demonstrates that local hedge funds outperform internationally-based ones by some 3.7 percent. This is a logical result, because local participants in financial markets can get relevant information quicker. It is especially an advantage when dealing with non-listed securities and in Emerging or Frontier Markets where the level of information gathering and the quality of information is lacking.
However, international hedge funds, especially those in the US and UK seem to be better equipped when it comes to attracting capital.
Almost to the extent that Teo suggests that they might be willing to sacrifice performance for the sake of trying to get bigger: quantity instead of quality!