Investment VehiclesQuestion 30 of 110
A hedge fund is typically offered to which type of investor and under what structure?
a.Retail investors through a publicly registered continuous offering
b.Any investor, with daily liquidity and low minimums
c.Accredited or qualified investors through a private, less-regulated structure
d.Only government pension plans by statute
Explanation
Hedge funds are generally sold through private placements to accredited or qualified investors and are subject to lighter regulation than registered funds. They often use leverage, derivatives, and limited liquidity with lock-up periods. High minimum investments are common, restricting broad retail access.
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