The Seven Habits of Highly Suspicious Hedge Funds

From Rick Bookstaber, the Seven Habits of Highly Suspicious Hedge Funds:

  1. No independent risk reporting
  2. A change for the worse in the critical risk numbers
  3. Increased use of derivatives
  4. High level of secrecy
  5. Growth in headcount and lifestyle
  6. Decline in assets under management
  7. Lackluster recent performance

More here.