Even as the SEC decided last month to put alternative mutual funds under the regulatory microscope, the investments are in a growth period as asset managers who offer the products seek to market their advantages to advisors and investors.

The SEC's broad examination of alternative mutual funds includes large and small players, but many industry experts do not believe increased scrutiny from Washington will affect their momentum going forward. The investments differ from other mutual funds since they have some hedge fund components to them including short selling, trading futures and utilizing derivatives.

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