Hedge Fund Trader X, the basic hedge fund strategy may be the hedged pairing of two stocks. Two stocks, usually in the same or related industries are chosen. The stock for you to rise is bought. Specialists the long position. The other stock with lesser expectation is shorted, or missold. The hedge fund profits from the relative movement of the two stocks. Impact this has of being simultaneously long and short the same amount of similar stock is to accomplish no net position. Thus, the hedge…
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