Tuesday, March 07, 2006

 

More Mutual Funds Hedging Their Bets

Aiming to compete with increasingly popular alternative investments and to increase performance in a weak market, many mutual fund managers have adopted strategies previously associated with hedge funds, according to recent reports. Allianz Global Investors, Julius Baer Holdings and AllianceBernstein have each sought shareholders' permission to alter their mutual fund investment styles. Other companies, such as Oppenheimer Funds, also in New York, and Principia Global Investors, based in Des Moines, Iowa, both of which had less rigid fund guidelines, already use hedge-like techniques, including intricate derivatives trades, short sales and investing borrowed cash.

More Mutual Funds Hedging Their Bets
Source: Financial-Planning.com

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