U.S. retail investors have had a growing appetite for hedge funds, and now European investors will get the chance to test the waters in these high-return, sometimes risky investments, as Spain is the first European country to introduce retail investors to hedge funds, according to Boston-based consultancy firm Aite Group.

"Spain is really taking the lead in Europe in introducing hedge funds to the market," said Phillip Silitschanu, senior analyst, director of European research and author of the Aite Group recent report, "Spain's Introduction of Retail Hedge Funds: Who's Next in Europe."

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