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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: XBrit who wrote (83375)	8/29/2000 6:38:19 PM
From: Knighty Tin	Respond to of 132070

Julius, The firm does not care whether you can benefit from a hedge fund, but whether they can. Many hedge fund managers set minimum amounts so that they can maximize their returns while minimizing their customer base. I guess these managers make so much money that a million dollar account is not worth the bother. There are many managers who don't think that way. The problem I see with a million dollar player is that only about 25% of his capital ought to go into something as speculative as most hedge funds (convertible hedge funds would be an exception to this rule, as they are very low risk if managed by somebody with half a brain). Though I am a firm believer in low risk, high return hedge fund investing, that is an endangered species in this market. Basically, the great majority of managers are looking at hitting a homerun one year and using that 20% share of profits to retire. Which means they are willing to bet your money on a couple of throws of the dice or on over-leveraged plays. I hate that sort of "management."