tag:blogger.com,1999:blog-13326001.post6411823344919898356..comments2024-03-02T03:29:09.759-05:00Comments on SerandEz and Friends: YU Letter About Madoff ($110 Million Lost)Ezziehttp://www.blogger.com/profile/12494592434522239195noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-13326001.post-19600037283121714152008-12-19T09:19:00.000-05:002008-12-19T09:19:00.000-05:00Akiva - I doubt that they'll know for a while...Fe...Akiva - I doubt that they'll know for a while...<BR/><BR/>Fern - That's just it: The point of investing in a place like a mutual fund, a hedge fund, etc. is because it's NOT putting all your eggs in one basket. When you invest in such a place they're typically investing in tens, hundreds, even thousands of different things. A fund I used to audit had about 2,000 different holdings at the end of a typical year. That's not in one basket at all.Ezziehttps://www.blogger.com/profile/12494592434522239195noreply@blogger.comtag:blogger.com,1999:blog-13326001.post-35430822933692011602008-12-19T02:22:00.000-05:002008-12-19T02:22:00.000-05:00Sorry Ezzie, but your explanation of why someone o...Sorry Ezzie, but your explanation of why someone or an institution would invest all of their assets (as Ascot did) in one fund doesn't make such investing sound any less crazy. I don't come from an extremely wealthy family where we all discuss our investment strategies over dinner, but all my life I've heard that you should never put all your eggs in one basket. If someone like me, who has no financial training whatsoever, knows that you should not have all your investments in one mutual fund company, let alone all in one fund within a company, then how in the world did people more sophisticated than I do such an amazingly dumb thing?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-13326001.post-37856867205866753322008-12-18T04:17:00.000-05:002008-12-18T04:17:00.000-05:00They make a point that they rely significantly upo...They make a point that they rely significantly upon philanthropical support. It would be interesting to know if they are seeing a drop in that support, and what level of drop.<BR/><BR/>I know at the lower end of the scale, many a yeshiva has seen 30% drops in donations, with some yeshiva's seeing as much as 68% drops.Akivahttps://www.blogger.com/profile/13042484533217272945noreply@blogger.comtag:blogger.com,1999:blog-13326001.post-33510843990035800772008-12-17T13:52:00.000-05:002008-12-17T13:52:00.000-05:00JA - Depends on how diversified the place is. Espe...JA - Depends on how diversified the place is. Especially if each place is charging fees, you might have much lower fees putting it in one place and not be concerned if the place seems to be well-diversified. You'd also look at the returns and see if they seem balanced as opposed to shooting up/down with specific markets, and here you'd see that, too.<BR/><BR/>Still agreed in general, but not so crazy that people would do such a thing.Ezziehttps://www.blogger.com/profile/12494592434522239195noreply@blogger.comtag:blogger.com,1999:blog-13326001.post-4929411353425567812008-12-17T13:44:00.000-05:002008-12-17T13:44:00.000-05:00...that substantially all its assets are invested ...<I>...that substantially all its assets are invested with Madoff.</I><BR/><BR/>I don't understand how so many people and funds put 100% or near 100% of their assets into a single fund. That makes no sense.<BR/><BR/>I'm just one guy and I've got my retirement funds in several places -- and two of those places are index funds. (The other is a money market fund.)Jewish Atheisthttps://www.blogger.com/profile/04616617537150446818noreply@blogger.com