That's the suspicion. The bigger they get, the more difficult it should have been to maintain returns. So, w/o registration or transparency, what did they do to out perform? That's what the Feds will find out. Of course, if they did nothing out of the ordinary, they'll be nothing to fear.
Look around you. Financial collapse, billions of shares don't settle, reporters and TV stations talk the book of these guys, ......there's much more that will come to light. But for now, that will do. Try to understand how hard it is to get subpoenas. And they got them. You figure the rest.
flytiger, Like you I detest naked shorting. Thank God it's been banned. Like you, I detest insider trading Like you, I detest all the Wall Street games. However, there are many good, honest & talented people working hard every day in this business. Your comments make it seem as if everyone is a criminal, and that those who are successful are only successful because of their criminal deeds. Take it easy, and eliminate the Schadenfreude, hyperbole and generalizations from your comments, because they lessen (maybe even eliminate) your credibility.
well were talking about multibillion doller hedgefunds, that has alot of expensive talent right. if were talking about small traders, yeah it happens all the time, but from past experience, for hedgies, it seems unsurmountable.
The 'good' guys, few that they are, did not do the right thing. They let the whole system die, probably because they thought they were going to die. It's not hyperbole. Go back and look. What has been dissproven? You don't think I have a ton of contacts in the business? It used to be, "we're too big to fail". Now it's 'I can't believe this is happening". 110,000 jobs on te Street are gone so far. You don't think they wished tey stepped forward? It's that bad. Listen to the lies, you'll be a stat too.
its amazing that you see a lot of hedge fund managers with good records still being 'long assets'. one would think they would realized by now that deleveraging is driwing assets down and it doesn't look that will stop or perhaps they think their asset pick will survive against the tide and be the one that goes up
Well not all Hedge Funds got killed... JWH kicked ass this month.... Up 20% in their biggest fund...and up 3-10% in all the others....
i wonder what percentage of funds use the long and the short approach at the same time.....how many are there long/short quantitative funds?
not all, but on the average, alot of hedgefunds are in deep trouble. The hedge bubble is finally imploding.