HI, How can a pension fund use hedge fund in its investment? There would be risky and low risk hedge fund, is there any different in the investment strategies between investing in a risky hedge fund and investing in a low risk hedge fund?
The latest NAPF survey shows that occupational pension funds in the UK hold around 2% of their investments in hedge funds (up from 1% in 2006). Many pension schemes are also starting to look at mortlity hedging products (designed to help manage the costs due to increasing pensioner longevity). There are many reports and articles on the internet on this subject - I just tried googling "pension fund investment in hedge funds" as a start point.
