What is Hedge Fund? | SIE, SERIES7, SERIES65, SERIES66 Exam Prep
Dec 29, 2025
A hedge fund is a private investment partnership using sophisticated strategies like leverage, short selling, and derivatives to generate returns for accredited investors, typically with high minimum investments and limited liquidity.
š Learn more about Hedge Fund and other key terms for your SIE, SERIES7, SERIES65, SERIES66 exam at Open Exam Prep.
šÆ This term appears on: SIE, SERIES7, SERIES65, SERIES66
š Full glossary: https://www.open-exam-prep.com/glossary
š Hedge Fund definition: https://www.open-exam-prep.com/glossary/hedge-fund
š” Exam Tip: Hedge funds = accredited investors only. "2 and 20" = 2% management + 20% performance. Can use leverage and short selling.
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