A man who will be one of the most notorious and feared inmates in the USA is sitting in his cell at Arizona State Prison, Florence. He gets out of bed and moves his steps from one side of the cell to the other, looking at a picture of his sister on the wall, occasionally struck by feelings of self-loathing when he sees her few worldly possessions. You are bound, you are lonely, you are lost and you are angry. All he wants is a TV to pass the hours. You will get what you want, but as an indirect result, you will kill someone cruelly. You will do so without regrets. Even the most experienced security guards will be amazed at the brutality of the killings. And it won’t be the first Robert Wayne Vickers to kill in prison. He didn't know it at the time, but his name will go down in history. At a young age, Vickers was not called a maniac, a young man with a relentless desire to harm people. Not at all. It was the prison and youth institutions that made him what he became. Do not say t...
🔊It is difficult to provide a general definition of a hedge fund. Initially,
hedge funds would sell short the stock market, thus providing a “hedge” against
any stock market declines.
Today the term is applied more broadly to any type of
private investment partnership. There are thousands of different hedge funds
globally. Their primary objective is to make lots of money, and to make money by
investing in all sorts of different investments and investments strategies.
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Most
of these strategies are more aggressive than than the investments made by mutual
funds. A hedge fund is thus a private investment fund, which invests in a
variety of different investments. The general partner chooses the different
investments and also handles all of the trading activity and day-to-day
operations of the fund. The investor or the limited partners invest most of the
money and participate in the gains of the fund.
The general manager usually
charges a small management fee and a large incentive bonus if they earn a high
rate of return. While this may sound a lot like a mutual fund, there are major
differences between mutual fund and hedge fund:
1️⃣. Mutual funds are operated by
mutual fund or investment companies and are heavily regulated. Hedge funds, as
private funds, have far fewer restrictions and regulations. 2️⃣. Mutual fund
companies invest their client’s money, while hedge funds invest their client’s
money and their own money in the underlying investments.
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3️⃣.Hedge funds charge a
performance bonus: usually 20 percent of all the gains above a certain hurdle
rate, which is in line with equity market returns. Some hedge funds have been
able to generate annual rates of return of 50 percent or more, even during
difficult market environments.
4️⃣.Mutual funds have disclosure and other
requirements that prohibit a fund from investing in derivative products, using
leverage, short selling, taking too large a position in one investment, or
investing in commodities. Hedge funds are free to invest however they wish.
5️⃣. Hedge funds are not permitted to solicit investments, which is likely why you
hear very little about these funds. During the previous five years some of these
funds have doubled, tripled, quadrupled in value or more. However, hedge funds
do incur large risks and just as many funds have disappeared after losing big.






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