Getting harder to start hedge fund — unless the word “Goldman” in your letterhead

"It’s getting harder to start a hedge fund — unless the word “Goldman” appears in your letterhead. "

http://dealbook.blogs.nytimes.com/2008/07/08/in-hedge-fund-land-newcomers-feel-a-chill/

"The number of hedge fund start-ups in the United States fell by 50 percent in the first half of 2008 compared with the same period last year, according to The Absolute Return New Funds Survey, published in the July/August issue of Absolute Return magazine."

 

Confirmation of the Obvious..........

1) Size does matter.
2) The "big" get bigger.
3) People are less willing to start new funds/businesses during bear markets, which seems contrary to the generally accepted notion that hedge funds perform "well" during bear markets.