Are Hedge Funds Dead?

Interesting article on SeekingAlpha.com

http://seekingalpha.com/article/110563-the-hedge-fund-business-is-finished-and-bernie-madoff-is-sealing-the-deal?source=email

"I have a feeling that the hedge fund offices around the world are being inundated with phone calls from people with a need to get up and close with their money. The ramifications of this could mean we are in for that trade we all hoped would never come...........'the capitulation trade'. Would you be able to sleep at night knowing some shill in the Hamptons on a computer may be using some white out to manipulate your investment statement.

The hedge fund business is finished, and Bernie Madoff is sealing the deal. There's nothing like fraud and corruption to put the cherry on the sundae. I know techincally, Madoff didn't run a hedge fund. But is this going to help the unregulated hedge funds, when Madoff, who was regulated, can't be stopped."

My Take: We'll find out in January when the next redemption period occurs for hedge funds. That is what I have heard anyway. I still think the market heads lower in 2009 & the S&P, which is around 850 in recent weeks, heads to 700 with no problem at all.

Dan Ross