J.P. Morgan Plots Insurance-Like Hedge Funds With Three Firms

The bank is working with York, Third Point and Newbrook on a product whose structure is becoming popular as a tax-deferral strategy.

J.P. Morgan Private Bank is gearing up to become the latest firm to offer an insurance-like hedge fund product to its wealthy clients.

The product, an obscure but increasingly popular offering called an Insurance Dedicated Fund (IDF), enables investors to defer and in some cases avoid paying taxes on their investment gains.

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