Hedge fund is a private investment fund that invest the capital of the partners. Only the sophisticated investors can invest in hedge funds. Hedge fund is a high risk and unregulated way to invest the money. Therefore, hedge fund can invest in any type of investment, be it a very expensive wine or an art. Moreover, the person who manages the hedge fund can make certain rules about the money that has been invested and can charge any amount of money as their service performance. However, hedge funds can generate more profits than any other investment methods even this method involves high risk.