The expansion of that thought is that many of the investment options associated with the wealthy are bad actually. Part of it is that we confuse how the wealthy invest after they’ve become wealthy with how they became wealthy. Nick Maguilli has written convincingly about thisI raise this point because there seems to be an obsession with the wealthy and how they invest their money as if their allocation decisions are what created their wealth. Of course, for some wealthy individuals this is true. Warren Buffett got rich based on how he invested his money. But many other wealthy people didn’t. They got rich as business owners or doctors or lawyers (or something else) and have since allocated their wealth to private equity and hedge funds. Keep this in mind before making any changes to your portfolio.But also: these hedge funds just aren’t that great!