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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: neolib who wrote (173536)	12/24/2008 9:48:01 PM
From: bentway	Read Replies (1) \| Respond to of 306849

"How much can you spend on a lap dance in New York, anyone know?" With tips, the sky's the limit! Seriously though, maybe Madoff blew it making the few "winners" who withdrew from his scam whole, to keep it going?

To: neolib who wrote (173536)	12/25/2008 4:49:07 PM
From: lifeisgood	Read Replies (1) \| Respond to of 306849

Where has all the money gone? Most of his unusually high reported investment "gains" were paid out as withdrawals (unless people reinvested dividends/gains). His reported return of 12 - 20% annual profits would require the same amount of contributions just to stay even. Thus, if people withdrew only reported profits, he would need to increase deposits by that same amount to stay even (that's how ponzi schemes work). At 20% reported "gains," he would require 10 billion in new contributions each year just to stay even (assuming he managed 50 billion). This doesn't count the billions that were paid to multiple feeder funds which funneled money to Madoff's fund.