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    ke a silk purse out of the sow’s ear of an underperforming US stock and bond market. That’s being done. New filings with the SEC indicate that a growing number of mutual funds will
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    You are going to be seeing and reading a lot more about hedge funds in the coming weeks and months. Two loosely related disturbed fronts are moving towards each other that may yet converge into the perfect storm.

    The S&P 500 Index, the proxy for the US stock market, is up only 1.97 percent for the year, and down 1.7 percent for the quarter. The Lehman bond fund index is down 1.5 percent for the year. US stocks and bonds comprise the overwhelming majority of assets in individual investor portfolios.

    That means very little or no growth for pension fund and 401(k) beneficiaries. For mutual fund and pension fund managers that means skinny or no performance bonuses. In a word, the pressure is on to somehow make a silk purse out of the sow’s ear of an underperforming US stock and bond market. That’s being done. New filings with the SEC indicate that a growing number of mutual funds will a

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    onverge into the perfect storm.

    The S&P 500 Index, the proxy for the US stock market, is up only 1.97 percent for the year, and down 1.7 percent for the quarter. The Lehman bond fund index is down 1.5 percent for the year. US stocks and bonds comprise the overwhelming majority of assets in individual investor portfolios.

    That means very little or no growth for pension fund and 401(k) beneficiaries. For mutual fund and pension fund managers that means skinny or no performance bonuses. In a word, the pressure is on to somehow make a silk purse out of the sow’s ear of an underperforming US stock and bond market. That’s being done. New filings with the SEC indicate that a growing number of mutual funds will

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    nd fund index is down 1.5 percent for the year. US stocks and bonds comprise the overwhelming majority of assets in individual investor portfolios.

    That means very little or no growth for pension fund and 401(k) beneficiaries. For mutual fund and pension fund managers that means skinny or no performance bonuses. In a word, the pressure is on to somehow make a silk purse out of the sow’s ear of an underperforming US stock and bond market. That’s being done. New filings with the SEC indicate that a growing number of mutual funds will

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    growth for pension fund and 401(k) beneficiaries. For mutual fund and pension fund managers that means skinny or no performance bonuses. In a word, the pressure is on to somehow make a silk purse out of the sow’s ear of an underperforming US stock and bond market. That’s being done. New filings with the SEC indicate that a growing number of mutual funds will
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    ke a silk purse out of the sow’s ear of an underperforming US stock and bond market. That’s being done. New filings with the SEC indicate that a growing number of mutual funds will adopt hedging strategies like short selling and option investing to keep investors from leaving the herd and taking their assets with them.

    On the other side of the disturbed front, the real hedge funds, unregulated private investment pools with a $trillion plus to toss around, are getting some unwanted heat from the regulators. Although they were held off by a recent DC Circuit Court ruling in favor of the hedge funds, the SEC is hot to regulate the hedge funds and is lobbying hard for Congress to give it the laws to do so.

    Hedge funds are not mutual funds. They are not bound by any investment strategy description in a Prospectus. A hedge fund can implement any investment strategy that you as a private i

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