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Hedge Funds Dive Into ETFs, but Investors Remain Wary
Managers are climbing aboard the ETF supertanker in record numbers, but some experts fear that these instruments could be dangerous in the wrong hands.
Illustration by Edel RodriguezFOR THE PAST FEW QUARTERS, THE TRAXIS PARTNERS global macro hedge funds have been busy tweaking their emerging-markets portfolios. In the second quarter alone, they added Chinese equities, nearly quadrupled their exposure to South Korean stocks and took an initial stake in Brazilian issues. In the same period,
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