The Equity Long-Short Style

Hedge funds using the equity long/short style invest in equities, combining long and short investments to reduce but not eliminate market exposure. Major sub-categories of the style include:

  • Global
  • Regional or industry focus
  • Dedicated short bias
  • Emerging market
  • Market timing

The short selling style acts inversely to market direction.

The emerging markets style invests in all types of securities (equity, fixed, sovereign) in emerging markets. It tends to be more volatile and funds are often long-only due to local market restrictions on short selling.

The market timer style varies long and short exposure in reaction to market conditions.

For more information, see all articles on: Uncategorized

See also:
  • The Relative Value Arbitrage Style
  • Debt to Equity
  • Long-Short Investing
  • Types of Hedge Funds
  • Equitizing a Long-Short Portfolio
  • Technical Analysis Explained : The Successful Investor's Guide to Spotting Investment Trends and Turning Points

    The Intelligent Investor: The Classic Text on Value Investing

    Financial Statement Analysis: A Practitioner's Guide, 3rd Edition

    Managing Investment Portfolios: A Dynamic Process (CFA Institute Investment Series)

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