So a couple of days ago in "Good News: Hedge Funds Might Have A Chance To Beat Benchmarks In 2017," I explained that thanks to plunging stock and sector correlations and what one can only assume will eventually be rising dispersion (assuming realized vol doesn't remain suppressed), hedge funds might actually have a chance to "earn" their "2 and 20." And if they did - earn their fees, that is - it would be about f*cking time because... well.. because this: (Goldman) Well as it turns out, things are indeed off to a decent start in 2017. Although as you'll see from the chart below, when I say "decent" what I really mean is "half-assed." Via Goldman Hedge funds are off to a solid start in 2017. The average equity fund is up 4% YTD, aided by high net leverage during the recent S&P 500 rally as well as low correlation and rising idiosyncratic risk.