Mutual funds with hedge-like characteristics, which are theoretically designed to protect investors when markets take a dive, may not be living up to their billing. Bloomberg reports that JPMorgan's $1.4 billion Highbridge Statistical Market Neutral Fund shed 4.7 percent, the ING 130/30 Fundamental Research Fund declined 2.3 percent, and the DWS Disciplined Long/Short Value Fund, declined 2.2 percent during the past three months. With many new fund companies taking the plunge into long-short strategies, it may be time to take a closer look at the models that guide them.  

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