Rise of the Hedge Fund Term Paper

Total Length: 1740 words ( 6 double-spaced pages)

Total Sources: 0

Page 1 of 6

" (Grassi, 2007)

III. HEDGE FUNDS REBOUND FROM SUBPRIME SUMMER in SEPTEMBER

It is related in an October 10, 2007 report that Hedge funds "rebounded nicely from the summer of subprime in September, posting one of their months in a decade." (FINalternatives, 2007) Hedge funds rose 3.27% in September in what is stated to be "the largest increase in four years, and the second largest in eight." (FINalternatives, 2007) the gains are also stated to be broad-based gains. The problem is however, that there is simply not a historical track-record of hedge fund returns to utilize in attempting to predict if these gains are likely to remain or be replaced by losses even greater than over the summer of this year. A discussion of the Financial Economists Roundtable's annual meeting reports the rapid growth of hedge funds in the last decade.
The Financial Economists Roundtable is comprised of a group of senior financial economists with a focus on microeconomic issues in investments, corporate finance and financial institutions and markets. However, the unregulated nature of the limited partnerships do lead to concerns including the high expenses in managing these funds and the risky strategies associated with investment of hedge funds and the "small probability of very large losses." (Stanford University, 2005) Investors often fail to understand these risks as well as others connected to hedge fund investing. Another problem….....

Show More ⇣


     Open the full completed essay and source list


OR

     Order a one-of-a-kind custom essay on this topic


sample essay writing service

Cite This Resource:

Latest APA Format (6th edition)

Copy Reference
"Rise Of The Hedge Fund" (2007, October 10) Retrieved July 1, 2025, from
https://www.aceyourpaper.com/essays/rise-hedge-fund-35255

Latest MLA Format (8th edition)

Copy Reference
"Rise Of The Hedge Fund" 10 October 2007. Web.1 July. 2025. <
https://www.aceyourpaper.com/essays/rise-hedge-fund-35255>

Latest Chicago Format (16th edition)

Copy Reference
"Rise Of The Hedge Fund", 10 October 2007, Accessed.1 July. 2025,
https://www.aceyourpaper.com/essays/rise-hedge-fund-35255