Hedge Funds Are Down For the Year

You think you’ve got it rough. Consider the poor hedge fund manager, who has an awful lot riding on the percentage gains he or she is able to post for clients. The reason is that hedge fund skippers pocket about 20% of the fund’s gains in addition to their annual fee. Of course, it’s a bit more complicated than that because to pocket a …

America, Home of the Financial Ignoramus

This just in: A startlingly large number of Americans—perhaps you’re one of them—are basically financially illiterate, without a clue when it comes to concepts like inflation and interest rates. At the same time, financial options have grown, and grown more complicated, with gotcha mortgages and credit card agreements overloaded with …

Has the G-20 doomed the recovery?

So they’ve gone and done it. Even though the G-20 called the recovery “uneven and fragile” in the final declaration from its weekend confab in Toronto, the advanced economies also pledged to at least halve fiscal deficits by 2013 and stabilize or reduce government debt-to-GDP ratios by 2016. The statement read:

Recent events

Are Low Interest Rates Bad for the Economy?

Earlier this week, the Federal Reserve had its regularly scheduled meeting and Bernanke & Co. decided to keep short-term interest rates at near zero, as they have been for a while. Low interest rates are supposed to spur growth by encourage borrowing, giving people more money to spend and invest. But interest rates have been really, …

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