Definition of "hedge fund" [hedge• fund]

• An pooled investment fund, usually a private partnership, that seeks to maximize absolute returns using a broad range of strategies, including unconventional and illiquid investments. (noun)

American Heritage(R) Dictionary of the English Language, Fifth Edition. Copyright (c) 2011 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

• "Increasingly I found myself spending time with people of means-law firm partners and investment bankers, hedge fund managers and venture capitalists."
• "Even Lew Eisenberg, the hedge fund master of the universe who had founded the RLC and been its biggest donor, was ordered to pull out."
• "The Securities and Exchange Commission is reportedly probing Merrill Lynch's sale of a mortgage-related security product it created for hedge fund Magnetar."