glossary

Convertible arbitrage hedge fund Hedge funds that seek out anomalies in pricing between shares, and convertible bonds that convert into these shares upon maturity and can go both long and short the shares and bonds in order to make money. Distressed debt hedge fund Hedge funds that trade in the relatively illiquid market of the debt of companies whose bonds or other borrowings are defined as "distressed". This may be described as when a firm has defaulted on its debt interest payments. Event driven fund The investment philosophy is based on an actual or anticipated occurrence ...