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 ?
The Morningstar Emerging Market Equity Hedge Fund Index took the largest hit in 2008, declining 45.
While cautioning against overgeneralizing the Amaranth situation when looking at the rest of the hedge fund industry, Mungovan said as the market grows, hedge fund managers and traders may be tempted to take ever-greater risks in light of their track record of big returns.
Part of the reason for the rating agency initiative regarding hedge funds is self interest (that is, a fee), part the insatiable desire of investors for designer assets, but most risk pros still rely on collateral to "rate" their hedge fund counterparties.
General Electric has a market capitalization of roughly $390 billion and in many ways is a portfolio of different operating units, much as a hedge fund is.
When an investor looks at a hedge fund, one thing her or she must look for is consistent performance--a consistency that adds some sort of balance to this high-flying, high-risk industry.
The advantages of hedge fund investing are now generally accepted by the vast majority of private investors:
To be sure, some are; the 1998 collapse of Long Term Capital Management and its bailout by the Federal Reserve made headlines around the world and no doubt scared off many potential hedge fund investors.
Getting hedge fund managers to share detailed information on their portfolio positions was an arduous task.
The Investable Index, comprising 51 funds, is designed to mirror the performance of the broad hedge fund universe and adds investability, active management and liquidity to the diversification and performance benefits of the Greenwich Global Hedge Fund Index.
It finished second in the hedge fund voting last year.
Schwartz is Soros' fourth CEO in two-and-a-half years, reflecting the tumult in the hedge fund universe, where old names like Michael Steinhardt and Julian Robertson have been superseded by young startups, and everybody is facing a shakeout.