The Hedge Fund Report: Another One for the Masses

It's becoming obvious that many mutual funds have hedge fund envy.

A few weeks ago, we reported that Janus Capital(JNS Quote) is planning a new mutual fund product with many hedge-like characteristics. Now, $100 billion mutual fund giant American Century has followed suit with the launch of the American Century Long-Short Equity Fund (ALHIX).

The product will take both long and short positions to generate returns that it hopes are uncorrelated to overall market performance. The long/short feature mimics hedge fund investing, while the fund remains open-ended, available to all investors with a minimum of $2,500. ...