In an attempt to do so, some mutual fund companies are set to bring hedge-like funds to everyday investors. One such fund is the DB Hedge Strategies Fund. This fund will charge a 1.95 percent annual fee and a 0.25 percent administrative fee. That’s less than some actively managed mutual funds, but still pretty pricey. The minimum to invest is $50,000.
Rydex offers a fund of hedge funds, an index that follows the S&P’s Hedge Fund Index the same way other index funds follow the S&P 500. Take a look at their tables; the difference in performance between the “with load” and “without load” is big.
The CNN article goes on to list some others.
Updated February 6, 2012 and originally published May 27, 2005. If you enjoyed this article, subscribe to the RSS feed or receive daily emails. Follow @ConsumerismComm on Twitter and visit our Facebook page for more updates.