What are the biggest disadvantages of hedge funds

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Reference no: EM132050279

1. True – False. ETF’s are less efficient than mutual funds.

2. Which is not a reason for growth of the fund business outside of the US: a. Shrinking middle class b. Increased awareness c. Aging population

3. True/False. Hedge funds are generally not regulated and there is only style of hedge funds

4. Which is not a responsibility of a portfolio accountant:

a. Daily NAV calculation

b. escheatment

c. Project cash availability

5. Which is not a responsibility of a transfer agent:

a. Calculating performance

b. Prospectus compliance

c. Anti-money laundering

6. Please explain the arbitrage process that keeps ETF’s near their NAV?

7. What are the biggest disadvantages of hedge funds:

8. What are the key responsibilities of the transfer agent hired by a fund complex?

9. True – False. ETF’s are generally passive investment vehicles

10. What is forward pricing?

11. What are the responsibilities of the custodian?

12. What is the benefit to the Authorized Participant in the creation/redemption process of ETF’s:

a. Investment management fees.

b. Arbitrage profits.

c. Alpha from investment portfolio.

13. True/False. Currency risk is a key risk in investing overseas.

14. True/False. International expansion for US mutual fund in Australia is easiest because their markets are similar.

15. What is the typical fee structure of a hedge fund? What is carried interest.

Reference no: EM132050279

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