{
  "title": "Hedge Funds: What Do We Really Know?",
  "publication": "Economic Issues, September 27, 1999",
  "sourceUrl": "https://www.imf.org/en/publications/economic-issues/issues/2016/12/30/hedge-funds-what-do-we-really-know-3221",
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  "summary": "Each episode of volatility in financial markets heightens the attention of government officials and others to the role played by the hedge fund industry in financial market dynamics.",
  "sections": [
    {
      "heading": "Overview and purpose",
      "content": "- Authors: Barry J. Eichengreen, Donald J Mathieson\n- Date: September 27, 1999\n- Purpose: Discuss the size, number, and investment styles of hedge funds; analyze their interactions with global financial markets; review the present state of their supervision and regulation; and assess suggestions for closer regulation as part of broader financial-market regulatory approaches."
    },
    {
      "heading": "Historical episodes highlighted",
      "content": "- 1992: Hedge funds implicated in crises that led to major exchange rate realignments in the European Monetary System.\n- 1994: Hedge funds implicated after a period of turbulence in international bond markets.\n- 1997: Concerns about hedge fund roles following financial upheavals in Asia.\n- 1998: Amplified concerns with allegations of large hedge fund transactions in various Asian currency markets and the near collapse of a major hedge fund, Long-Term Capital Management (LTCM)."
    },
    {
      "heading": "Major themes and substantive findings",
      "content": "- Size, number, and investment styles of hedge funds:\n  - The paper discusses hedge funds' size, number, and investment styles (no aggregate numeric totals provided on the landing page).\n- Interactions with global financial markets:\n  - The paper examines how hedge funds interact with global financial markets and how episodes of volatility draw attention to their market role.\n- Supervision and regulation:\n  - Reviews the present state of hedge fund supervision and regulation as of publication.\n  - Assesses various suggestions for regulating hedge funds more closely, often within broader regulatory approaches to financial markets.\n- Case study emphasis:\n  - The Long-Term Capital Management (LTCM) episode is used as a focal example of systemic concern."
    },
    {
      "heading": "Subject classifications and keywords",
      "content": "- Subject: Banking, Commercial banks, Financial institutions, Hedge funds, Mutual funds, Securities, Stocks\n- Keywords: Commercial banks, EI, forward sale, fund, Global, hedge fund, hedge fund customer, hedge fund strategy, hedge fund's loss, Hedge funds, hedge funds' activity, institutional investor, investment activities of a hedge fund, Long-Term Capital Management, LTCM episode, LTCM rescue, LTCM situation, managed futures, market, Mutual funds, regulation of the hedge fund industry, Securities, Stocks, total borrowing\n\n---\n\n\nSource: https://www.imf.org/en/publications/economic-issues/issues/2016/12/30/hedge-funds-what-do-we-really-know-3221"
    }
  ],
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    "Authors: Barry J. Eichengreen, Donald J Mathieson",
    "Published: September 27, 1999",
    "Series: Economic Issues",
    "DOI: https://doi.org/10.5089/9781557758491.051",
    "Authors: Barry J. Eichengreen, Donald J Mathieson",
    "Date: September 27, 1999",
    "Purpose: Discuss the size, number, and investment styles of hedge funds; analyze their interactions with global financial markets; review the present state of their supervision and regulation; and assess suggestions for closer regulation as part of broader financial-market regulatory approaches.",
    "1992: Hedge funds implicated in crises that led to major exchange rate realignments in the European Monetary System.",
    "1994: Hedge funds implicated after a period of turbulence in international bond markets.",
    "1997: Concerns about hedge fund roles following financial upheavals in Asia.",
    "1998: Amplified concerns with allegations of large hedge fund transactions in various Asian currency markets and the near collapse of a major hedge fund, Long-Term Capital Management (LTCM).",
    "Size, number, and investment styles of hedge funds:",
    "Interactions with global financial markets:",
    "Supervision and regulation:",
    "Case study emphasis:",
    "Subject: Banking, Commercial banks, Financial institutions, Hedge funds, Mutual funds, Securities, Stocks",
    "Keywords: Commercial banks, EI, forward sale, fund, Global, hedge fund, hedge fund customer, hedge fund strategy, hedge fund's loss, Hedge funds, hedge funds' activity, institutional investor, investment activities of a hedge fund, Long-Term Capital Management, LTCM episode, LTCM rescue, LTCM situation, managed futures, market, Mutual funds, regulation of the hedge fund industry, Securities, Stocks, total borrowing"
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