Hands Off Hedge Funds

This is one of the more idiotic articles I have read all year. In 1998 one hedge fund (LTCM) which was allegedly "handling risk properly" almost brought down the entire financial system. You can read about it here. Without going too deeply into arcane financial matter, the assumption is that hedge funds "control risk," when history shows that, while some do, it only takes one or two funds controlling risk incorrectly to put the entire financial system in jeopardy. As Warren Buffet said, "you don't know who is swimming naked, until the tide goes out."