About

• As per SEBI’s definition, “Hedge funds are unregistered private investment partnerships, funds or pools that may invest and trade in many different markets, strategies and instruments (including securities, non-securities and derivatives) and are not subject to the same regulatory requirements as mutual funds.”
• In simple terms, Hedge Funds pool money from high-net-worth individuals and large companies to generate higher return and diversify risk. 
• The funds are managed by professional fund managers who follow a wide range of strategies to invest in traditional or non-traditional assets, to earn above-average investment returns.

The investments are often considered high-risk and usually done by high net worth individuals.