How Does Hedge Fund Work?

We can say that hedge funds work like mutual funds, which simply means that its not one person investment and to variate it could be referred as an investment by accredited investors ( investors with a certain amount of capital). Investors generally pool their money under hedge funds and expect the hedge manager to go according to the specified strategy to invest their funds. According to government regulations, hedge fund managers can not accept more than 35 non-accredited investors to any given firm or partnership.
Watch the video below to get a better insight.