And the market craziness ensues…
A couple colleagues came back from a financial conference recently, where as you can imagine, the mood was quite dour. Approximately 2/3rds of hedge funds (10,000 strong) will be out of business by next year.
While I have very little sympathy for the guys who did very well in the past few years, and will just have to use this time to regroup, it’s worrying to think about the consequences for some of their clients– like government retirement plans and academic endowments. Moody’s is predicting as much as a 30% decline for the year, Harvard is seeking spending cuts while Cornell and Brown have both instituted hiring freezes.
I just hope this doesn’t translate into raised tuition for families– people have enough to worry about as it is. Looks like school may not be as safe an option as it usually is in a downturn. 
