Which of the following statements is CORRECT? Group of answer choices Hedge funds are not as highly regulated as most other types of financial institutions. The justification for this light regulation is that only "sophisticated" investors (i. e., those with high net worths and high incomes) are permitted to invest in these funds, and these investors supposedly can do any necessary "due diligence" on their own rather than have it done by the SEC or some other regulator. Hedge funds have more in common with commercial banks than with any other type of financial institution. The most important difference between spot markets versus futures markets is the maturity of the instruments that are traded. Spot market transactions involve securities that have maturities of less than one year whereas futures markets transactions involve securities with maturities greater than one year. Capital market transactions involve only preferred stock or common stock. If General Electric were to issue new stock this year, this would be considered a secondary market transaction since the company already has stock outstanding.