Dan Kemp, partner at investment manager Saltus Partners LLP, tells Financial News why he is steering clear of equity hedge funds.

FN: What are equity hedge funds? DK: Equity investing over the past decade has been dominated by "stockpickers," who seek to invest in the right companies in the hope of substantially beating the benchmark index. This approach has its ultimate expression in equity hedge funds, particularly market-neutral funds that attempt to generate absolute returns by exploiting the return differential between individual stocks and sectors.