Comments on: When Hedge Funds Blow

By: volatile smile

volatile smile — Thu, 28 Oct 2010 16:09:54 +0000

Interesting that funds-of-funds are the beneficiaries of fraud fears. I wouldn’t have thought of that.

By: volatile smile

volatile smile — Thu, 28 Oct 2010 16:06:32 +0000

Given that only a small percentage of criminals are caught, how much fraud is going on in the hedge fund industry? One assumes that fraud benefits the fraudster in most cases — unless it’s the kind of cover-up habit that really just makes you trade worse.

As far as leverage goes — that’s how the funds are making excess returns in the first place! Money management scaled outward.

Who says Amaranth’s opposites were other hedge funds? Why not nat-gas companies for example?

Also — there are weirdly some 3000′s and 3006′s in this article.

Thanks for a very interesting narrative and giving credit where it’s due.

By: volatile smile

volatile smile — Thu, 28 Oct 2010 16:02:30 +0000

Niederhoffer – that’s funny.

By: volatile smile

volatile smile — Thu, 28 Oct 2010 15:46:24 +0000

Ashbury isn’t that funny — internet sez he lost the savings of little old ladies

By: volatile smile

volatile smile — Thu, 28 Oct 2010 15:39:28 +0000

Why does everybody recommend When Genius Failed? It’s not that good. I think nobody actually reads it and everybody just picks up more copies at airports based on the subject matter.

By: The Edge » Blog Archive » link feast 3-3-10

The Edge » Blog Archive » link feast 3-3-10 — Wed, 03 Mar 2010 22:55:35 +0000

[...] Headline risk, hedge fund blow-up->post here [...]

By: john henry

john henry — Tue, 13 Jan 2009 07:47:47 +0000

I iove your page and all this smart money that the rich blue crab munching elite used. Is this an Ivy League version of ” Animal House”? Blackstone and Fortress seem to be enjoying their fruits of thier ineptness too. $3000 a weekend for BX CEO to grind down a week of florida crabs. These clowns are Count Ludwig reborned!

By: tito

tito — Thu, 18 Dec 2008 20:55:01 +0000

Only $2B? That is *so* last year…

By: Ben Little

Ben Little — Thu, 18 Dec 2008 20:43:21 +0000

Niederhoffer also blew up, seemingly for good in October 2007 with reported losses of over $2 billion. I wonder who got blamed for those? His Broker, the Exchange-Surely not him and his gigantic ego.

By: Hack the market » ship of fools

Hack the market » ship of fools — Mon, 15 Dec 2008 22:19:14 +0000

[...] delighted that Scott Johnston once again allows me to share one of his excellent monthly newsletters. Scott’s an experienced hedge fund [...]