What is the definition of Hedge Funds and Private Equity Investments?
batman253 asked:
What is the premise of investing in-
1. Hedge Funds.
2. Private Equity Investments.
What is the premise of investing in-
1. Hedge Funds.
2. Private Equity Investments.
random_market_investor:
1 - Hedge Funds - investment companies that uses techniques, such as borrowing money and selling short, in an effort to make extraordinary capital gains.
2 - Private Equity Investments - Private equity is a broad term that refers to any type of equity investment in an asset in which the equity is not freely tradable on a public stock market. Such as shares in Private Companies.
Hedge funds may also do private Equity Deals but they do all sorts of other investments as well: Stocks, options, etc.
November 17, 2008, 6:50 am