hedge fund

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hedge fund

n.
A pooled investment fund, usually a private partnership, that seeks to maximize absolute returns using a broad range of strategies, including unconventional and illiquid investments.

hedge fund

n
(Banking & Finance) a largely unregulated speculative fund which offers substantial returns for high-risk investments

hedge′ fund`


n.
an open-end investment company organized as a limited partnership and using high-risk speculative methods to obtain large profits.
[1965–70]

hedge fund

A form of private unregulated investment fund that typically employs trading strategies that have greater risk than are permitted in other investment funds. Using money from wealthy individuals and institutions a hedge fund typically seeks to make profits by engaging in high risk, short-term speculation on bonds, currencies, stock options, and derivatives. Hedge funds often use the selling short technique.
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.hedge fund - a flexible investment company for a small number of large investors (usually the minimum investment is $1 million); can use high-risk techniques (not allowed for mutual funds) such as short-selling and heavy leveraging
investment company, investment firm, investment trust, fund - a financial institution that sells shares to individuals and invests in securities issued by other companies
Translations
fonds spéculatif
References in periodicals archive ?
Although December proved relatively uneventful for hedge funds, 2009 turned out to be the best year since 2003.
Given the increasing role hedge funds are playing in the insurance industry, high-profile problems such as the recent disclosure of Amaranth Advisors LLC's $6 billion loss on energy trades may shed light on the dangers inherent when high-risk players mix with the risk-mitigation business.
Among the issues which top of the list for the financial services industry is the generic question of how to get better counterparty risk data, especially for hedge funds and other organizations involved in Complex Structured Financial Transactions (CSFF) and Over-the-Counter (OTC) derivatives.
What makes the hedge fund pay packages all the more shocking is that hedge funds are a source of the grumbling about CEO compensation.
It is hard for investors to distinguish which hedge funds are bona fide, well-managed and established companies, and which are just another zealous group of up-starts wanting to jump on the ever popular hedge fund bandwagon.
In today's challenging investment climate, significant allocations to hedge funds are still appropriate, although investors need to be highly selective in their strategic choices.
Hedge funds are an efficient way to diversify into alternative investments.
Until recently, corporate asset allocation rarely included hedge funds as a component.
To be sure, the lessons stemming from this episode have not gone unlearned, and there is no lack of effort to identify and implement appropriate public policy and private-sector responses to the potential risks posed by hedge funds.
Accuracy of information reported by managers is not necessarily audited or independently verified and may not represent all hedge funds.
Lehman Brothers analysts are doing the best job of catering to hedge funds, according to a study in the October/November issue of Institutional Investor's Alpha, released last week.
Hedge fund investment advisor George Van told Chief Executive he anticipates that flat returns next year will drive between 500 and 750 hedge funds out of the market by the end of 2003.