Answer: A long bias, particularly in merger arbitrage strategies.

Event-driven hedge fund strategies typically exhibit a **long bias**, especially in merger arbitrage, where the focus is on profiting from corporate events like acquisitions or restructurings. These strategies are **bottom-up** and security-specific, not top-down (Option B). Additionally, they differ from relative value funds, which aim to capitalize on short-term pricing discrepancies between related securities (Option C).

Author: LeetQuiz Editorial Team