Ads
related to: hedge fund strategy
Search results
Results From The WOW.Com Content Network
Sometimes hedge fund strategies are described as "absolute return" and are classified as either "market neutral" or "directional". Market neutral funds have less correlation to overall market performance by "neutralizing" the effect of market swings whereas directional funds utilize trends and inconsistencies in the market and have greater ...
A hedge fund might sell short one automobile industry stock, while buying another—for example, short $1 million of DaimlerChrysler, long $1 million of Ford.With this position, any event that causes all auto industry stocks to fall will cause a profit on the DaimlerChrysler position and a matching loss on the Ford position.
Millennium Management has lost money in just one year since its 1989 founding. The $69 billion hedge fund uses a strict trading strategy to make sure it consistently makes money.
Convertible arbitrage is a market-neutral investment strategy often employed by hedge funds. It involves the simultaneous purchase of convertible securities and the short sale of the same issuer's common stock.
Hedge funds aim to deliver above-average returns to investors who are interested in owning more than just stocks in their portfolios. It’s the hedge fund manager’s job to determine how pooled ...
Hedge funds can deliver above-average returns to investors who are comfortable taking more risk in their portfolios. Aside from the fact that they don’t always deliver, there’s just one catch ...