Find the best financial services for you at: SMARTFINANCESOLUTIONS.NET - What happens when a hedge fund declares bankruptcy? - The same thing that happens in any bankruptcy. The creditors get paid off first, then the stockholders. Any monies left in investment accounts, gets distributed to the investors. The investors are not responsible for the hedge fund's debts. But if these investment accounts have lost money, then they only get what is left of their investments. -
