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Hedge Funds: Truths and Myths
Luis A. Seco |
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Hedge funds have enjoyed increasing levels of popularity coupled with mysticism, opacity and obscurity, yet they are a trillion dollar industry worldwide. This paper aims at presenting some facts about the hedge fund sector, and to reflect on some of its myths. The paper reviews the industry, its products, its risks and proposes a way of thinking about them from the investor's viewpoint which takes into account their nature, very different to traditional investments.
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