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Banks More Risky Than Hedge Funds?

Hedge Funds or Banks?

Banks More Risky Than Hedge Funds?Recently some investors have been asking themselves which is more risky, hedge funds or banks? While hedge funds are sometimes define using the works "risky" and "highly leveraged" many are now making sure their prime brokerage business partners have enough cash on hand to do their job.

“It is quite paradoxical,” said Angelos Metaxa, a director of CM Advisors, a $3bn [€2.05bn] Geneva-based fund of hedge funds. “In August, everyone was worried about a hedge fund blowing up, but now they are worried about a bank blowing up and taking a few hedge funds with it.”

Here is the full article on this.

- Richard

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