Market imbalances eventually balance.
By Michael Weinberg
In 2011 the HFI Equity Index was down 4.39% while the S&P 500 Total Return Index was up 2.1%. In 2012 the HFI Equity Index was up 6.13% and the S&P Total Return Index dramatically outperformed, rising 16%. During the past two years a near consensus industry view has emerged that equity long/short investing is dead. This view was espoused in trade press and in more general financial periodicals as well as at leading industry conferences. On a panel at one of these conferences, an industry veteran went as far as asking