Fund Management - FRM Part 1 2025 - Book 3 - Chapter 3

Learn essential concepts of fund management in this comprehensive FRM Part 1 video lesson covering the role of fund managers, different types of investment vehicles, and advanced trading strategies. Master the distinctions between open-end mutual funds, closed-end mutual funds, and ETFs while developing skills to calculate net asset values (NAV) and hedge fund returns. Explore various hedge fund strategies including long/short equity, merger arbitrage, and global macro approaches, along with their associated risks. Gain insights into fund performance measurement, understanding measurement biases, and interpreting research findings on mutual and hedge fund returns. Examine undesirable trading behaviors, the role of prime brokers, and the complex fee structures of hedge funds, including concepts like hurdle rates, high-water marks, and clawbacks.