Which TWO of the following statements are TRUE concerning hedge funds?

Which TWO of the following statements are TRUE concerning hedge funds?

Which TWO of the following statements are TRUE concerning hedge funds?

I. They do not have fees that include a percentage of assets under management and only charge a fee based on a percentage of the gains
II. They may employ a wide range of investment strategies that include selling short, arbitrage, derivatives, and the use of leverage
III. They are suitable for investors seeking liquidity
IV. They may place restrictions on withdrawals


A. I and III
B. I and IV
C. II and III
D. II and IV







Answer: D