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Australian Hedge Fund goes bankrupt today

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Re: Australain Hedge Fund goes Bankrupt today

Well that's a shame. I personally know Steve Howell. Leverage and illiquidity strikes again though...
 
Re: Australain Hedge Fund goes Bankrupt today

I wonder how many other Oz hedge funds are actually at the point of tipping over the cliff and what effect their demise might have on our markets?

Regardless, methinks 3-5% "shocks" every few days to the the world SPI indexes are going to be the norm for awhile yet....

AJ
 
Re: Australain Hedge Fund goes Bankrupt today

Nick Radge said:
Well that's a shame. I personally know Steve Howell. Leverage and illiquidity strikes again though...
Click to expand...

Yes, it is a shame. These things do happen. However, I feel more for those investors who entrusted their funds with the group. I know it is always (or should be) "buyer beware" but I sort of wish/hope that the fund managers also go right down the toilet along with their clients' funds. All management fees, all bonus', all performance fees handed back to the liquidator.

Will not happen, I know, but then Utopia does not exist either.
 
Re: Australain Hedge Fund goes Bankrupt today

Nick Radge said:
Well that's a shame. I personally know Steve Howell. Leverage and illiquidity strikes again though...
Click to expand...

Sure leverage and liquidity played a role but how about a simple lack of understanding of what you are doing?
 
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