> Moving to another question will save this response. Question 12 p16 What is the Not rate of return for the Fund of Funds? Here are data on three hedge funds. Each fund charges its investors an incentive fee of 20% of total returns. Suppose initially that a fund of funds (FF) manager buys equal amounts of each of these funds, and also charges its investors a 20% incentive foo. For simplicity, assume also that management fees other than incentive fees are zero for all funds. HedgeFund 1 Hedge Fund 2 HedgeFund 3 Start of year value (millions) $100 $100 $100 Gross portfolio rate of return 10% 10% 10% 10 30 > Moving to another question will save this response