An article in the Wall Street Journal notes: “Hedge funds typically charge higher fees than other money managers.”
a. What is a hedge fund?
b. What fees do hedge funds typically charge? How do these fees compare with those that mutual funds typically charge?

c. What strategies do hedge funds use that mutual funds don’t use that might allow the hedge funds to earn high returns in certain situations? Does evidence show that hedge funds consistently produce higher returns than do mutual funds that use more conventional strategies? Briefly explain.