Tag: Mutual Funds
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What is a Feeder Fund
A Feeder Fund is Mutual Fund that pools investment capital from various investors and then feeds (i.e invests) this capital pool into one or more Master Fund(s). It is the Master-Fund that undertakes the investment activity on behalf of the investors. In a Feeder-Master fund structure, the feeder fund is typically set up as a…
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What are Arbitrage Funds? How Do Arbitrage Funds Work?
Arbitrage funds are a category of Mutual Funds that are often overlooked by investors. To understand how arbitrage funds works, we must first understand the concept of arbitrage. Arbitrage is an investment strategy that looks to capitalize on the price difference of a single commodity or asset in two different markets. So, if the price…