Is SPTRADER.COM hedge fund for real???

Discussion in 'Politics & Religion' started by davejoy, Mar 26, 2006.

  1. davejoy

    davejoy

    A friend recently dumped a huge wad of cash into a hedge fund called "SP TRADER" (sptrader.com).

    While my buddy seems to be happily earning profits so far, I don't trust the way these guys are promoting themselves, but I can't find ANYTHING on them because hedge funds are totally unregulated.

    Anyone else heard of them?

    They SAY they're the top-rated fund in the world, with a six-year track record of a 72% return... but they're totally unregulated and nobody knows much about them.

    Another chatroom turned up some unfavorable gossip when a newbie investor got spanked pretty good by other more sophisticated investors when he started crowing about his "new find"...

    I'd hate to be the bearer of bad news for my buddy, but I think these guys need debunking!

    Thanks for any feedback!! :)

    DJ
     
  2. You just need to do a little due diligence.

    1. First, make sure they're audited and speak to the accountant yourself (make sure that the auditor is independent).

    2. Verify the fund's Assets Under Management (AUM) and then get the fund's permission to verify the account balance with their prime broker.

    If there's any resistance, stay away.
     
  3. davejoy

    davejoy

    Excellent...
    I'll follow up and see if they flinch.
    Thanks!