REIFF is utter crap. Aside from the possibility that it could be another Ponzi… I would refuse to invest with an investment manager that puts himself before clients. Medallion is 100% principal money and achieves significantly higher rates of return that the general funds offered to investors. Clients interests should always be placed first and its usually a bad sign when management isn’t eating its own cooking. Not withstanding my wild accusation that it could be a ponzi, I have no evidence of this, just seems like a lot of factors raise the possibility. -Tight control over information flow to investors -No one actually knows how they make $$$ -James Simmons kicks out anyone who places a redemption, period, and never lets them invest in the future -Doesn’t like questions -Cult-like following Sound a bit like Madoff? Its probably legit, but irrespective, placing your own interest before clients is unethical.
^ Very true. These are the factors that caused a lot of people to redeem post Bernie. The important difference is that Bernie showed good returns, not crappy ones. They could just be bad at it, not dedicate enough time due to involvement in Medallion etc. Then again, they could be dodgy. Wouldnt massively suprise me. Definitely better funds out there. They should have performed in last year’s environment. Everyone else did.
I think about TA sort of the way I think about Alchemy. Much of it is cr*p, but mixed in with it is some stuff that makes sense. Just like alchemists: a lot of it was silly and fraudulent, but some of it turned out to be the roots of modern chemistry. Iassac Newton practiced alchemy.
Muddahudda Wrote: ------------------------------------------------------- >The important difference is that Bernie showed good returns, not crappy ones. They could just be bad at it, not dedicate enough time due to involvement in Medallion etc. Then again, they could be dodgy. Think about it though…they’re not ‘bad at it’ they’re better at it than Bernie was. Bernie showed returns, which meant at some point he’d have to pay investors out if they ever wanted to redeem. But, if you instead ‘lose’ the whole fund’s value, well, then you don’t owe anyone anything and you can keep the whole thing to yourself. I don’t actually think they are a madoff, but I do think there’s some conflict of interest there. Then again, I don’t really know either way. Edited: Madoff is the new Ponzi.
That’s the plot of The Producers, isn’t it?