BizJournals Portfolio
Home >   Business Views, Opinions and Blogs >   Business Blogs >   Market Movers >  

Hedge Funds When To Bail Out

Market Movers

by Yves Smith and Felix Salmon
Main
The Sunny Side of Morgan Stanley's Earnings   Loonie Tunes

Recent Blog Posts

Links

Sep 20 2007 12:00am EDT

Hedge Funds: When to Bail Out

Now this is what is known as a sell signal:

We are actively working to adjust our process to minimize the negative impact of future market dislocations and position the fund for positive returns going forward.

Now there's an idea! Why didn't they think of that before?

And who came up with this piece of genius? It's actually from the letter sent out by Goldman Sachs hedge fund managers Mark Carhart and Ray Iwanowski to investors in their Global Alpha fund. And that's not the only laugh-out-loud moment, either. A bit further down, they come out with this gem:

Our intent under these circumstances is to more aggressively limit the size of our fund to reflect this new environment and to increase our agility in times of market stress.

Hm. Aggressively limiting the size of a fund which is down 35% year-to-date. Shouldn't be too hard, I don't think.

blog comments powered by Disqus
Real Business, Real Results
Out of the 'Family'

Did anyone at Microsoft ever watch the (gasp!) offensively funny show Family Guy?

Cruz Missile Lands

Ex-Morgan Stanley exec Zoe Cruz is now heading her own hedge fund. Are Wall Street's leaders done?

Scandal Chic

Martha, Bernie and Skilling know that what you wear for court can go a long way in public perception.

spotlight on

Health Care

Bad to the Bone No More

Companies such as General Mills say they're stepping up efforts to change employees' bad behavior and promote healthier lifestyles. Read More