What Strategies Do Hedge Funds Employ to Earn Their Returns

question 189

Multiple Choice

What strategies do hedge funds employ to earn their returns?

• A) Their strategies may include arbitrage, high levels of leverage, and active involvement in the derivatives market.
• B) Their strategies may include indexing the returns of major stock exchanges in North America.
• C) Their strategies may include indexing the returns of stock and bond markets in North America.
• D) Their strategies may include indexing the returns of North American mutual funds.
• E) Their strategies include indexing the returns of risk-free returns such as North American government bonds.

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