Compared to mutual funds, hedge funds may use the following strategy.

A) Growth
B) Value
C) Sector specialization
D) Significant leverage

Significant Leverage

Utilization of borrowed money or financial instruments to increase the potential return of an investment.

Hedge Funds

Investment funds that use advanced strategies, including leverage, derivatives, and short selling, aiming for high returns.

Mutual Funds

Investment funds that pool money from multiple investors to purchase a diversified portfolio of stocks, bonds, or other securities.