Investment funds that are truly hedged have been the winners in this year's up-and-down stock market, Morgan Creek Capital Management CEO Mark Yusko said Monday.
The outperforming strategy in the market right now is "being long and short," while overall stock valuations "look at the top end of their long-term range," he told CNBC's "Squawk Box,"
Yusko's Morgan Creek, with about $4.5 billion in assets under management, is primarily a hedge fund allocator, which means it invests in other funds on behalf of clients. The firm also makes its own bets on certain stocks.
It's been a tough year for hedge funds, with many high-profile managers suffering losses such as David Einhorn's Greenlight Capital, down 16.3 percent for the year through October, and Bill Ackman's Pershing Square, down 15.9 percent through Oct. 27.