Different Types of Funds Content List
Exchange traded fund (ETF) are special types of funds designed to replicate the performance of a specific stock index, commodity prices, or bond index. They do so by investing in the same group of stocks, bonds or commodities in the proper weigh which are used to build the index. It is almost same as the […]Continue Reading... No Comments.
The fund of funds has some advantages over the only hedge fund investment. They are mainly It enables small investors with low capital investment to invest in the portfolio of hedge funds. As it invests in large number of uncorrelated hedge funds, failure of one hedge fund does not affect the overall return significantly. Investors […]Continue Reading... No Comments.
Fund of funds has the below characteristics It builds Portfolio of uncorrelated hedge funds across the world. Raise funds from different investors around the world and mainly invest in different hedge funds. But sometime they invest in other funds like mutual funds, private equity funds etc. as well. The main aim to provide stable return […]Continue Reading... No Comments.
As we know that investment in the Hedge Fund requires a very high minimum amount which only the high net worth individuals and pension, endowment, corporate funds can afford. To make the small retail investors enable to invest in hedge funds, the Fund of Funds are formed which invests in different hedge funds. Due to […]Continue Reading... No Comments.
With the numerous advantages, the hedge funds provide, it has some disadvantages as well because low regulation and aggressive strategies by the management to grow and generate higher return. The main disadvantages are Higher Minimum Investment Amount Requirement: Hedge funds investment normally requires a very high minimum amount. That’s why only the high net worth […]Continue Reading... No Comments.
Hedge funds offer numerous numbers of advantages and benefits, that’s the main reason the hedge fund market is growing very fast around the world and becoming popular day by day. Though it is not regulated by the market regulators, still it is well accepted by the high net worth investors and financial institutions that seek […]Continue Reading... No Comments.
Hedge funds use a wide area of investment strategies according to the risk return objective taken by the management. As the Hedge funds seek for higher absolute return, they always take very high risk while taking any investment decisions. The Hedge fund investment strategies include They invest in stocks, bonds, derivatives, commodities, distressed securities, currency […]Continue Reading... No Comments.
A Hedge Fund is an investment fund which is formed to take any possible investment route or trading path to generate higher absolute returns. The main aim of hedge funds is to generate as much profit as possible using any kind of financial route from shares to derivatives to hedging etc. The basic characteristics of […]Continue Reading... No Comments.
Mutual fund investments have some disadvantages as well which should also be considered while investing in the mutual funds Mutual fund investment requires fees for buying and selling and sometimes the fund management company charges the maintenance fee as well. These all fees increase the cost in mutual fund investment. Mutual fund management houses do […]Continue Reading... No Comments.
Mutual Fund offers a wide range of benefit to attract the small retail as well as big customers. Because of these reasons, the small investors with Rs 1000 investment and Indian Government EPF trust with Rs 3.5 lakh crore assets depend on mutual fund to gain better than market average return. The benefits are provided […]Continue Reading... No Comments.