July 08, 2006

Cost Factor with Hedge Funds

There is no doubt that investors are looking at hedge funds to make a huge profit from their operations. However, small investors who lack money for their minimum investments and management fees are not upbeat about the hedge funds. Hedge funds have been in news several times in the recent past. This is because of the money and risk associated with hedge fund operations. They remain outside the watchful eye of Securities and Exchange Commission regulators. The funds remain basically unregulated and their reporting standards are loose. In general, hedge funds are pool investors' money. However, they are different from mutual fund, as they do not have liquidity requirements. They can place unlimited dollars in one investment.

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July 8, 2006 in Research | Permalink




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