[Verse 1] When hedge funds disappear from sight The weak ones fade into the night But indices don't tell this tale They only show the ones that didn't fail This makes performance look too bright Survivorship bias ain't right [Chorus] Three biases distort the view S-B-S, remember these two plus one more Survivorship makes returns look high Backfill fills the past with lies Selection picks the best to show These biases make indices glow [Verse 2] A fund joins late but fills back years With stellar returns that bring the cheers They add their past winning streak To make the index numbers peak This backward filling skews the score Backfill bias gives us more [Chorus] Three biases distort the view S-B-S, remember these two plus one more Survivorship makes returns look high Backfill fills the past with lies Selection picks the best to show These biases make indices glow [Verse 3] Index makers choose with care They pick the funds that look most fair The best performers make the cut While struggling funds stay in the rut This cherry picking tilts the game Selection bias is to blame [Bridge] Database providers need to know Which funds to add and which let go But human choices always lean Toward making numbers look more clean The real performance gets distorted True risk-return gets under-reported [Chorus] Three biases distort the view S-B-S, remember these two plus one more Survivorship makes returns look high Backfill fills the past with lies Selection picks the best to show These biases make indices glow [Outro] When analyzing hedge fund data Remember what can contaminate-a The indices you think are true Might have a rosier point of view S-B-S will guide your way To better analysis today
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