Festive Savings Are Here. Get 10% OFF on All CCI Pro Plans. Subscribe Now!

Hedge Fund

Save Share

Join Us Follow Us Add as Source

This query is : Resolved

Report Query Ask a Query

Devendra

Devendra (Querist)

10 May 2010 What is the concept of Hedge Fund?

Thank You,
Devendra

Jigar Shah

Jigar Shah (Expert)

11 May 2010 Hedge fund in layman terms is a fund floated by Financial Institution, usually for High Net worth clients, not for retails investors. They have different exposures and several financial products just like mutual fund. Unlike Mutual Funds, they do not always invest in publicly traded funds they invests in derivatives, futures or foreign exchange and host of several vanilla or complex financial products.

Vikram Kothari

Vikram Kothari (Expert)

11 May 2010 As correctly said by Jigar.

Hedge Funds are alike mutual funds but difference is that
1. They arrange money privately. Usually they are in the form of LLC or LLP.
2. Hedge Funds is a big market in USA.
3. they don't have to follow the stringent rules of SEC as in the case of mutual funds.
4. They can invest any where in Lands, Minerals, Oil, Shares etc.
5. Their motto is to provide the best return to investors.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now