Alternative Investment Research

Mastering Risk: How Hedge Funds Bet and Win

Mastering Risk is what Hedge funds have long been known and for their aggressive bets on the financial markets, often using sophisticated number-crunching strategies to try and maximize their profits. While these funds can make a lot of money, they can also be subject to market uncertainties that can wipe out their gains in an…

Leveraged buyouts 101

Aug 14, 2010Juliya Rostova1 CommentAlternative Investment Research, Investment Researchacquisition, Chrysler, debt financing, exit strategy, finance, Hilton Hotels, LBO, leveraged buyout, private equity, restructuring, RJR Nabisco, Toys "R" Us, TXU

A leveraged buyout (LBO) is a financial strategy in which a company or a group of investors use borrowed funds, typically in the form of loans or bonds, to acquire a controlling interest in a company. The acquired company’s assets are often used as collateral for the debt. The purpose of the leveraged buyout is…