# Professor Stephen Brown explains why hedge funds are not ideal for retail investors

1 Faculty News August 10, 2015 ![Australian Financial Review logo](/sites/default/files/styles/246w/public/assets/images/con_031073.jpg?itok=ouTCQlql)>

Excerpt from [Australian Financial Review](http://www.afr.com/business/banking-and-finance/hedge-funds/why-retail-investors-should-steer-clear-of-hedge-funds-20150810-givljn) -- "But retail investors \[in Australia\] can \[invest in hedge funds\]. You have to be prepared to do the operational due diligence, to know that in a liquidity crisis hedge funds will lose money and to invest in a diversified portfolio. If you can't meet those criteria you shouldn't be investing in hedge funds."

[Read more](http://www.afr.com/business/banking-and-finance/hedge-funds/why-retail-investors-should-steer-clear-of-hedge-funds-20150810-givljn)

Additional coverage appeared on [Sydney Morning Herald](http://www.smh.com.au/business/banking-and-finance/why-retail-investors-should-steer-clear-of-hedge-funds-20150810-givljn.html).