Which of the following is true about hedge funds?
A)Hedge funds are the same as mutual funds.
B)Hedge funds require that investors commit their funds short-term.
C)Hedge funds use strategies that avoid risk.
D)Hedge funds have a minimum investment requirement between $100,000 and $20 million.

Question

Quizplus · Accepted Answer

Hedge funds have a minimum investment requirement that can range from $100,000 to $20 million or more, making them accessible only to wealthy or institutional investors. Additionally, hedge funds often use complex investment strategies that may involve higher levels of risk than traditional mutual funds.

Which of the Following Is True About Hedge Funds