(1) American hedge funds
American hedge fund is not a legal concept. In the past, the development of hedge funds mainly refers to private and unregistered investment pools that use complex hedging and arbitrage trading techniques in the company's equity market. Investors in hedge funds are limited to mature and wealthy individuals. As time goes by, the activities of hedge funds continue to expand to other financial instruments and markets. Today, the concept of hedge funds no longer emphasizes the characteristics of using hedging tools, and some hedge funds use or do not use hedging tools. At present, this concept emphasizes the characteristics of private placement, does not need registration, and has no regulatory rules related to the same fund.
(2) Cayman Islands Mutual Fund
It is common that * * * is the same fund according to Article 4 (3) of the Fund Law. Specifically, there are two types: one is a fund in which each investor invests more than 400,000 US dollars or its equivalent in other currencies, and the other is a fund whose share is listed on a stock exchange or OTC market recognized by CIMA (Cayman Islands Monetary Authority) and registered in CIMA at the same time. In this case, funds and fund managers do not need government approval.