Market capitalization for a stock: # shares outstanding * price

ETFs have 4 or 3 letters
Mutual Funds usually have 5 letters
Hedge Funds don't have abbreviations

AUM - Assets Under Management - is the total amount of money being managed by the fund.

How fund managers are rewarded:
Expense ratio
  is typically a percentage of AUM, therefore higher the AUM value, greater the incentive.
Two & Twenty
  This structure actually motivates both AUM accumulation ("Two") as well as
Profits ("Twenty"). Here "Risk taking" is synonymous with aiming for greater
profits, which is motivated by the Two & Twenty model.


Hedge fund goals:
  - beat a benchmark* (portfolio may go down with the market)
  - absolute return (+ve returns no matter what; long/short positions)
Metrics:
  - cumulative return
  - volatility (std)
  - risk/reward (Sharpe Ratio)
  
*select benchmark that represent the type of your investment. E.g. if you invest
in European stocks, use European stock index as the benchmark, not SPY.