What Are Hedge Funds?
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Answer / sunny v
A hedge fund is an investment fund open to a limited range
of investors that undertakes a wider range of investment
and trading activities than long-only investment funds, and
that, in general, pays a performance fee to its investment
manager. Every hedge fund has its own investment strategy
that determines the type of investments and the methods of
investment it undertakes. Hedge funds, as a class, invest
in a broad range of investments including shares, debt and
commodities.
As the name implies, hedge funds often seek to hedge some
of the risks inherent in their investments using a variety
of methods, most notably short selling and derivatives.
However, the term "hedge fund" has also come to be applied
to certain funds that do not hedge their investments, and
in particular to funds using short selling and
other "hedging" methods to increase rather than reduce
risk, with the expectation of increasing the return on
their investment.
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Answer / vikas kumar
hedge funds are funds which are used to eleminate the risk
as much as posibble and there is no motto of making profit
from it.
it can in form of derivatives but fuction will remin the
same to eleminate the risk of a pewerticular tranction.
| Is This Answer Correct ? | 4 Yes | 4 No |
Answer / chiranjeevi
A hedge fund is a fund that can take both long and short
positions, use arbitrage, buy and sell undervalued
securities, trade options or bonds, and invest in almost any
opportunity in any market
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Answer / saritha.a
These funds, like mutual funds, collect money from
investors, and use the proceeds to buy stocks and bonds.
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Answer / rocking.satya9
An aggressively managed portfolio of investments that uses
advanced investment strategies such as leveraged, long,
short and derivative positions in both domestic and
international markets with the goal of generating high returns
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Answer / krishna
hedge funds means that which are the funds dont hav ny risk dat mean risk free funds r called hedge funds
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Answer / rahmath nisha s
Hedge is using for risk avoiders. so these hedging is give
higher protection with minimum gain for EX; LAND
INVESTMENT, GOLD INVESTMENT
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