Hedge Funds Outraged At Obama Bullying But Also Cowering In Fear

The Business Insider ^ | May. 5, 2009 | Clifford S. Asness

[jackmercer]

What a crock of s$/t this is. These hedge funds are bondholders of Chrysler and that puts them in line after secured creditors if liquidation occurs. Do they really think there will be any assets left after the secured creditors are paid?

If they don’t like the 30 cents on the dollar deal then they can push for Chapter 7 where they will lose everything. They need to stop the whining and realize the days of 20 to 40 percent returns of their funds based on phantom gains and shadow banking systems are over and tighten the belt with the rest of us.

These guys are indeed holding out for a bailout from the taxpayer! These are the counterparties that get paid when we bail out institutions but they think they can fool the people because they were not “directly” bailed out. They are playing the public for fools and shrouding it with patriotism, rule of law and screaming dictatorship and it’s disgusting.

I know this hedge manager isn’t directly involved with Chrysler....key word “directly”...but I’m sure he’s facing the or has faced the same thing with other bonds he holds in other corporations.

Time to open up what really goes on behind the closed doors of hedge funds and get the transparency rules going. That kind of regulation is loooong overdue.