SEC to investigate alternative mutual funds

|By:, SA News Editor

The SEC has launched an investigation into examining alternative mutual funds, following their recent surge in popularity.

The funds in question typically employ investment strategies that imitate those of hedge funds, such as investing in private debt or shorting assets, and command higher fees.

Investigations will be conducted at large investment firms such as BlackRock (NYSE:BLK) and AQR Capital Management, as well as smaller firms that previously didn't offer mutual funds.

Related tickers: GS, BK