Year's best performing alternative funds
Alternative funds, which mimic hedge-fund techniques to increase returns or reduce risk, soared in popularity in 2015 and 2016. How have they done this year?
By and large, pretty badly. Hobbled by high fees and strategies designed to hedge downside risk in a market that only rewards the upside, most have underperformed the Standard & Poor's 500 stock index. But the 10 listed here have managed to outperform their peers and the broader market.
Here are the top-performing alternative funds thus far in 2017. Data is from Morningstar and is as of Nov. 16, 2017. For the record, the Standard & Poor’s 500 has gained 17.57% this year, including reinvested dividends, and averaged 10.53% the past three years.