Hedge funds outperformed equities and bonds on a risk-adjusted basis according to a new report from the Alternative Investment Management Association. Using data provided by alternative asset intelligence company Preqin, the association found hedge funds delivered a Sharpe ratio of 1.45 for 2016, placing them ahead of the S&P 500’s 1.1 and the MSCI World Index’ 0.68. “The analysis, based on a database of more than 3,000 funds, found that hedge funds also outperformed stocks and bonds on a risk-adjusted basis over three years and five years,” the Alternative Investment Management Association (AIMA) said. AIMA said that hedge funds returned...