Construction un-bust

The headlines have been screaming that the Israeli economy is in recession — as if anyone needed to be told that. The reason why this is a news item is because the data for GDP growth in the first quarter of 2009 (published on 17/5) showed, to no-one’s surprise, that this key measure of economic activity shrank at an annualised […]

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Risk is ‘out’ and will remain so

The previous blog  focused on how so many supposedly smart people and famous names from among the professional investment community could have been taken for a ride by Bernie Madoff’s scam. The inescapable conclusion was that they were guilty of either stupidity, or incompetence, probably mixed up with a good dash of either arrogance or laziness. These sterling qualities, rather […]

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When ‘fund’ becomes a four letter word

The previous blog focused on how so many supposedly smart people and famous names from among the professional investment community could have been taken for a ride by Bernie Madoff’s scam. The inescapable conclusion was that they were guilty of either stupidity, or incompetence, probably mixed up with a good dash of either arrogance or laziness. These sterling qualities, rather […]

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Too good to be true, but not too bad to be true

It seems fair to say that the Madoff affair will come to be seen as a milestone in the development of three very different groups of people: a) the Jewish world in general and the American-Jewish community in particular; b) the money management profession, extending from private and other banks, through to hedge funds and other ‘vehicles’; c) people with money, whether a little (‘savers’), a lot (‘investors’), or a great deal (‘wealthy’).

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