News for hackers. Stuff that matters.

A comment on Economic Pessimism Growing in U.S.. Parent comment

Re:Economic Pessimism Growing in U.S. by hermitdev on Tuesday May 31, 2022 @03:44PM (#31573987)
As someone that worked at a hedge fund that was leveraged approximately 40:1 in 2008, I never wish to go through that again. 40B USD assets under management down to about 7B USD in a few weeks... Amazingly, we still had jobs at the end of that September.
[ Parent | on HN ]
Re:Economic Pessimism Growing in U.S. by plonk on Tuesday May 31, 2022 @05:49PM (#31575377)
Did you get that value back in the next years or was it a complete loss?
[ Parent | on HN ]
Re:Economic Pessimism Growing in U.S. by hermitdev on Tuesday May 31, 2022 @11:02PM (#31577543)
IIRC, it took between 18-24 months for the fund to earn it back, with a significantly reduced leveraged rate. AUM never reached 40B while I was still there due to redemptions, though. The following year was a wild ride, for sure.
[ Parent | on HN ]