Tuesday, 27 January 2009

Bend them and Hedge It

Apparently hedge fund managers have been called to account by MPs in the UK over short selling.

I don't see what the argument of the hedge fund managers that shorting stocks highlights deficiency in that particular company.

Hedge funds do not make any thing. They serve no function other than as destroyers of companies whether they are good or bad companies.

Some say that short selling should be banned and investment should be on fundamentals.

However it would appear that hedge funds are doing nothing illegal, just bending rules a little perhaps, and hedging.

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