<div class="style12" style="padding-left:5px;"><br><br> Types of hedge funds: Here is a list of the most common strategies, with definitions. Convertible arbitrage : Involves buying convertible bonds and selling short the underlying common stock. Some degree of leverage is normally used. Distressed securities : Strategy attempts to identity securities of companies that are under pressure due to a particular event, such as a bankruptcy or corporate reorganization. Emerging markets : Looks to invest in securities of companies or the sovereign debt of developing countries. Long/short equity : Involves holding a portfolio of long and short stock positions. Strategy could involve a market-neutral approach (equity market neutral) where short positions offset long positions in like sectors. Many long/short programs are net long (equity-hedge) while attempting to offset long exposure and some (equity non-hedge) are making a directional bet on the market with short positions. The latter group includes commodity-trading advisors (CTA) applying trend-following principles to equities. <br> For more details, click: &nbsp;&nbsp;<a href="../content_eng/base_our_funds.html" style="color:#33aaff;">Our Funds</a></div>