RADICALFIRE.COM

What Is a Hedge Fund? Unraveling the Mysteries of Alternative Investments

The concept of a hedge fund may confuse many people. Most people hear the term and think of great wealth, but ask themselves, what is a hedge fund?

What Is a Hedge Fund?

Dashed Trail

A hedge fund is a financial partnership of accredited retail and institutional investors managed by professional managers.

Dashed Trail
Dashed Trail

What Is an Accredited Investor?

Dashed Trail
Dashed Trail

Not everyone can put money in a hedge fund, and they are not usually accessible through your broker or online platform. The SEC requires a person to be an accredited investor.

Dashed Trail
Dashed Trail

Hedge Funds Are Risky Hedge funds use strategies that potentially increase risk and absolute returns.

Dashed Trail
Dashed Trail

Hedge Funds Are Expensive These funds make their money through a fixed management fee and performance structure.

Dashed Trail

FOR MORE ABOUT THIS POST, VISIT RADICAL FIRE

White Frame Corner
White Frame Corner