What is the potential downside

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What does the term "hedge fund" come from, and why is "hedge fund" a decent description of some hedge funds but a bad description of other hedge funds?

Briefly describe portfolio margin loans (prime brokerage financing), why a majority of hedge funds use them, and what is the potential downside?

Summarize the CDO strategy deployed by Magnetar during 2007. How was this different from the strategy at Paulson and other funds (e.g. those highlighted in "The Big Short") that simply bet against the subprime mortgage market and thus made astronomical returns?

Reference no: EM133074343

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