www.canadianhedgewatch.com/content/news/general/?id=252 -
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Published on: 11/26/2007
Last Visited: 2/6/2008
"Hedge fund blowups are an unfortunate phenomenon of our industry," said Ingrid Pierce, a senior attorney in Walkers\' Global Funds Group Corporate and International Finance Department and based in the Cayman Islands."It seems that every year we hear about one collapse that is more spectacular than the last and the fallout leads to eye-catching headlines, calls for increased regulation and investor jitters."
This year\'s crises are mainly about the credit crunch.
"Funds that once held relatively liquid, high-performing CDOs (collateralized debt obligations) now find themselves holding, as a result of the more general credit crunch, illiquid and underperforming assets," said Ms. Pierce.