The broadcast and print media over the last week or so have been filled with stories of a massive investigation by the feds into the who, what, where, when, why and how investment managers are trading on inside information. Names have been named, the hunt is on and before the end of the year it is expected that some of Wall Street’s most famous and well- respected will be indicted for making money the old-fashioned way – illegally.
Click here to read some of the coverage.
If I were a gambler, I’d bet that insider trading has been going on for as long as there has been a stock to sell or a bond to buy. Unfortunately, it’s part of the modus operandiof many managers on the Street. People are always looking for an edge, and sometimes that edge is achieved illegally. I for one applaud the efforts of those involved in the investigation and hope they did everything by the book. It would be a shame if they sullied any good names on the Street at the expense of getting a few bad guys.
The Madoff legacy seems to becoming clearer by the day. As more active investigations come to light, new rules surrounding how money is managed are being put into place and investors are getting more involved in how their money is being managed. Perhaps his wrongs will help right a few things in the future.
Last week we had our November HEDGEAnswers Launch Session and Strategy Session calls. Both were full of useful and important information. If you missed the calls, pleaseclick here purchase a podcast. You will thoroughly enjoy listening to our experts discuss how to structure and launch a successful business and hearing Nancy Havens discuss howmerger arbitrage works and makes money in this and other market environments.
Our next set of calls on January 17th. Register today to get in on the discussion.
THINGS THAT DRIVE ME CRAZY:
I am happy to report that that I have nothing to report. Stay tuned – this will change!