Are You Ready for the next Meriwether fund?

Actually, Meriwether already did try to raise money to reboot JWM earlier this year and struck out. But the first couple months of this year were probably the most difficult time ever to raise money for a hedge fund (it also turns out to have been one of the best times ever to put money into risky assets, which illustrates the basic dilemma of the money management business). At some point, when money's a little looser, I'm betting Meriwether will be able to raise enough money for a fund yet again.

Why is that so? Are investors really that dumb? Well, first, those who got in on the ground floor at LTCM and JWM and didn't reinvest all their gains through the years probably made out okay. At LTCM the partners even returned most of their investors' money not long before everything fell apart. They did this more out of greediness than concern for investors, but the end result was that a lot of those who put money into LTCM got it back and then some.

But I imagine the real attraction of investing with Meriwether had less to do with the returns than with, well, the attraction of investing with Meriwether…..

http://curiouscapitalist.blogs.time.com/2009/07/09/all-ready-to-sign-up-for-john-meriwethers-next-fund/?xid=rss-topstories