The real problem showed up when Hedge funds became so popular. People putting money into there 401k care a lot about long term gains, people running Hedge funds care mostly about short term gains. Hedge funds end up filling board seats not small time investors.
It's actually a common problem with 'money managers' as generally they share far more of the upsides than the downside risk. Yet, there is no way to consistently beat the market so trading risk is really there only option.
It's actually a common problem with 'money managers' as generally they share far more of the upsides than the downside risk. Yet, there is no way to consistently beat the market so trading risk is really there only option.