Outside the law
A government investigation shakes the hedge-fund industry
Insider trading on Wall Street
Nov 25th 2010 | New York
Nov 25th 2010 | New York
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Readers' comments
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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