Webster's Dictionary provides multiple definitions of “transparency.” The first is: “Having the property of transmitting light through its substance so that bodies situated beyond or behind can be distinctly seen.”


Applying this to portfolio disclosure would suggest that each position, the “bodies” of a portfolio, should be explicitly disclosed, or “distinctly seen.”

Another definition of transparency is: “Having the quality of being easily understood, manifest, obvious.” Transparency, then, according to this second definition, shows the important figures while filtering out the subtle details. The increased transparency ...

Get Hedge Fund Risk Fundamentals: Solving the Risk Management and Transparency Challenge now with the O’Reilly learning platform.

O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.