Greater scrutiny of the hedge fund industry came a step
closer to reality this week when five top hedge fund managers
told a Congressional hearing they weren’t opposed
to more regulation of hedge funds.
They also said the federal bailout money should be made
available to troubled institutions other than banks but ignored
the direct question as to whether hedge funds might receive
The sight of five prominent managers testifying under oath
in Washington was a reminder of the new financial landscape,
where even the wealthiest elite who have been shrouded in
secrecy have no place to hide. In the past, the hedge fund
industry vehemently opposed regulation but now seems resigned
to it, given the current climate.
Kenneth Griffin, whose $15 billion Citadel Investment Group
is the largest market maker...