( www.northewestherald.com ) – Suppose you wanted to invest in hedge funds, and your principal was guaranteed by the FederalDeposit Insurance Corp.
At first blush, this sounds like an easy way to anchor a risky investment within a safe vehicle.
Two federally insured certificates of deposit (CDs) are being sold that are linked to the return of a hedge fund index maintained by Hedge Fund Research, Inc. of Chicago. One is offered by HSBC Securities USA, a unit of Europe’s largest bank. The other is sold by Bear Stearns Cos., the New York-based securities firm.
