THE LONG AND THE SHORT OF HEDGE FUNDS

“The mere mention of the term ‘hedge funds’ used to have many investors running for the hills, usually for the wrong reason,” writes Andrew Ludwig, founder of Fund Hub. “Today, these strategies are better understood and the industry more regulated, with hedge funds governed by the Collective Investment Schemes Control Act (Cisca), enabling managers to offer investors real portfolio diversification without compromising their real return objectives. The most common hedge fund strategy is a long-short hedge strategy, representing two thirds of the industry.”