Hedge funds typically operate with a simpler goal, they must make money and produce returns while adhering to the laws and regulations that regulate them. Hedge funds tend to specialise and stick to the strategies and markets they know best. These strategies vary from large-picture macroeconomic strategies to relative value strategies that take advantage of minor differences in valuation between similar securities.
Key learning objectives:
What are Macro funds?
What are Equity Hedge funds?
What is High Frequency Trading?