Hedge fund: A Hedge Fund consists of a small group of investors (less than 500) who have their money invested in a portfolio managed by a professional. The participants in the fund must meet minimum requirement of net wealth, and the fund is not as constrained as a normal mutual fund as to the type of investments it can make. Hedge funds generally assume higher risk with the intention of producing higher returns.


Hedge fund in our glossary: terms and definitions

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