Posted on 03/31/2008 10:35:13 PM PDT by TigerLikesRooster
Ping!
Shades of the Great Depression????
You can still put money in it if you want!
Or you could buy some of the other investors out. At a discount of course.
Sounds like its not investments backed by debt, but the undiversified nature of that fund that is killing it right now. Too many eggs all in one basket and most of them are rotten. Oh well, buyer beware. This is what happens when you buy stocks based solely on the premise they are potential takeover/merger candidates. When the takeover/merger doesn’t occur, you usually get caught with your pants around your ankles.
It’s a hedge fund alright —— A hedge against capital gains. Makes things easier April 15th
Investors will be paid back in full. A full 28 cents on the dollar
How dumb does someone have to be to invest in a fund that invests in airlines?
My rule about airlines is: Every day is a good day to short the airlines.
Better days to short the airlines are the day after some nitwit optimist (like these clowns) have been on CNBC or Bloomberg spouting how they’re long the airlines.
No, not quite. A hedge fund is not a bank.
It is a common clause in hedge fund limited partner agreements that you, the LP, may be restricted from withdrawing money from the fund during certain times of illiquidity or pressure on the fund.
Some funds have withdrawals on a quarterly window basis. The LP’s get to declare their intent to withdraw $X from the fund by a certain date early in the quarter, and the GP’s running the fund then have n days during the quarter to raise the cash. The withdrawals then happen during a short window at the end of the quarter.
Why anyone would invest in a hedge fund is beyond me. The “2 and 20” fee structure is simply far too much money for the return and risk of these funds.
FYI - my wife and I are withdrawing as cash some of our paychecks these past two months to set aside 'just in case'. I'd encourage others on FR to do the same. You can always redeposit it later, but if your bank tumbles at least you'll have some cash to fall back on...so long as the cash holds its value.
And therein lies the rub. It's only paper whose value is strictly notional. Once peoples' trust is gone, paper backed by nothing is worth exactly that.
Hey, I know how we can save the hedge funds. Let’s cut the interest rate to zero and start printing that money Zimbabwe style! And we’ll give the fed control over everything! It’s the new Republican way.
That was my thought. The words airlines and investments don't go together. In the long run the industry has negative cumulative earnings and they all visit bankruptcy court eventually, usually multiple times.
Not only that, but there are always dreamy people willing to start a new airline and dreamy investors that will provide them money, thus there is always new competition in a shaky industry.
Our money is backed by the goods, services, and investments of the United States economy. Of course, you can send me all your worthless paper to prove your point.
Oh Geez...............my broker didn’t explain it that way!
If you want to gamble in the market there is always the down side.
I just don’t want my tax dollars to bail you out!
Where was my refund when things were riding high and mighty...or did the smoke and mirrors get in your way?
Actually, I'm somewhat fond of my Imperial Deutschmarks, although they are truly worthless.
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