Outside the law
A government investigation shakes the hedge-fund industry
Insider trading on Wall Street
Nov 25th 2010 | New York
Tuesday March 8th 2011
Advertisement
Most commented
- Charlemagne: No time for doubters
- Turkey and Europe: Mr Erdoğan goes to Germany
- China's foreign policy: Setting sail for Libya
- Insurance and rights: Can same-sex bathrooms be far behind?
- America’s security commitment to Taiwan: From keystone to millstone?
- China's pre-emptive crackdown: The people doth not protest
- Oil and the economy: The 2011 oil shock
- Banyan: Taiwan's commonsense consensus
- Macedonia's ethnic disharmony: How many building booms can one city take?
- The Republicans: Who dares take him on?
Over the past five days
Most recommended
- China's pre-emptive crackdown: The people doth not protest
- China's foreign policy: Setting sail for Libya
- Turkey and Europe: Mr Erdoğan goes to Germany
- Oil and the economy: The 2011 oil shock
- Psychiatry: Therapist-free therapy
- Libya: The limpet's legions
- KAL's cartoon
- Insider trading: A tip too far?
- Mormons in politics: When the saints come marching in
- Banyan: Taiwan's commonsense consensus
Over the past seven days
Advertisement
Latest blog posts - All times are GMT
- Free books!
- From Prospero
- Reading material
- From Prospero
Products & events
Stay informed today and every day
Subscribe to The Economist's free e-mail newsletters and alerts.
Subscribe to The Economist's latest article postings on Twitter
See a selection of The Economist's articles, events, topical videos and debates on Facebook.
Advertisement
Classified ads
Readers' comments
Sort:
Good luck proving insider trading. But for those convicted the penalty must involving loosing their ill-gotten fortunes, otherwise a couple of years in jail is not going to deter anyone if the result is that you come out after a year or so to live off a few billion.
I was starting to worry that Bernie was the only one going to take the fall.
Nothing new. Anyone who has the information has the power and the money. Modigliani was the only one who thought that the perfect market could exists. Still dream on his grave.
....I think that writer has recently seen Wall Street II as his use of some of the lingo matches word to word.....
But the larger question is that the hedge funders whom we regard as having algoritahm based intuition a la John Nash is all s*** and all they do is run and bed with the pole dancers to create their own milieu so that they can have some insiders and thus gets benefited with this asymmetric information as Stiglitz would put it...........
Follow the Pirates to their offshore treasures.
Would it not be a better world if hedge funds were outlawed. Profit taking by betting on the spread only depreciates the real value of a company and investments. Profit is only taken, never put back into the stock. If the Hedge Fund Mentality continues, someone should become "the house" like in a casino. Understand? Betting has infected real business. Until this stops many potential investors and businesses will find other means to trade.
heated