Hedge Fund Definitions

PIPE Fund

A specialized hedge fund – PIPE is an acronym standing for Private Investment in Public Equities.

Commodity Trading Advisor (CTA)

A person who, for pay, regularly engages in the business of advising others as to the value of commodity futures or options or the advisability of trading in commodity futures or options, or issues analyses or reports concerning commodity futures or options.

Vulture Fund

A vulture fund is a term for a fund or investment pool that seeks to profit from distressed businesses and troubled countries. See also:  Hostile Takeover, Liquidation Arbitrage, Shareholder Activism

Macro Fund

A hedge fund that specializes in strategies designed to profit from expected macroeconomic events.

Load

Load refers to a fee charged for buying into or selling out of a fund. See also: Exchange Traded Fund, Hedge Fund

Alpha

A measure of a mutual fund’s risk relative to the overall market. It reflects the difference between a mutual fund’s actual performance and the performance expected based on risk level taken by the fund’s manager. A fund that produced the expecte

Activist Hedge Fund

Activist hedge funds are funds that aquire a large enough portion of a company to allow them to participate on company boards and attempt to influence management decisions for the benefit of the business, shareholders and employees. In addition they may wage proxy battles and liquidate assets. See