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Finance Latest News: Fed Survey Shows Hedge Funds Leveraged up to Buy Stocks

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July 08, 2013 AT 4:12 PM
Hedge fund investors were recently borrowing aggressively to fund stock bets relative to their strategies since the financial crisis, a Federal Reserve survey showed on Monday. The Fed's Senior Credit Officer Survey showed one in five respondents reported hedge fund client's leverage, a measure of the amount of debt used to make financial bets, was near its highest level for equity-oriented funds since a pre-crisis peak.