I am not an advocate for more regulation of hedge funds but rather better

I am not an advocate for more regulation of hedge

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I am not an advocate for more regulation of hedge funds but rather better regulation of hedge funds. I do believe that the current framework is “broken” and that changes need to be made to make it more effective. Paulson’s plan provides some genuine attempts to make the system more efficient and embrace this financial innovation that hedge funds and private equity firms provide. Tighter regulation will mean that the social value of these entities will be lost and we will be succumbing ourselves to a more socialistic value chain that is not interested from benefitting from the sheer brilliance and ingenuity that spawns from financial innovation.
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45 APPENDIX A – SNAPSHOT OF A FIDELITY FUND Morningstar Report | Snapshot Section | Full Report (contains all sections) 11-25-08 Click the print icon in your browser to print this report. Snapshot Fidelity FFIDX Performance more Growth of $10,000 10-31-08 Fund Current Category Index Fund 7.8 7.5 13.7 16.8 -36.2 +/- S&P 500 TR -3.0 2.6 -2.1 11.3 -3.4 +/- Cat -2.2 1.6 -0.5 10.7 -2.2 Fund Category LB LB LB LB LB Trailing Returns % 11-24-08 YTD 3 year 5 year Fund -44.19 -9.74 -1.73 +/- Cat -2.00 1.76 1.16 +/- S&P 500 TR -3.40 0.85 0.55 Key Stats more Morningstar Category Morningstar Rating Large Blend NAV (11-24-08) Day Change $21.40 $1.23 Total Assets ($mil) Expense Ratio % 4,984 0.55 Front Load % Deferred Load % None None Yield % (TTM) Min Investment 1.49 $2,500 Manager Start Date John D. Avery 02-06-02 Premium Features Analyst Pick or Pan Role in Portfolio Premium Premium
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46 Analyst Report Summary Even after a surprising 2007, we still want to see more from this mutual fund. Read full analyst report Stewardship Grade A decent steward, but with room for improvement. See more detail Portfolio Analysis more 09-30-08 Morningstar Style Box Avg. Mkt Cap $Mil 41,844 Price/Prospective Earnings 13.4 Ownership Zone Sector Breakdown (% of stocks) Information 17.79 Software 1.76 Hardware 12.11 Media 1.79 Telecommunications 2.12
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47 % Long % Short % Net Assets Cash 1.2 0.0 1.2 Stocks 98.8 0.0 98.8 Bonds 0.0 0.0 0.0 Other 0.0 0.0 0.0 Industrial Materials 13.57 Energy 14.25 Utilities 2.07 Annual Turnover % 80 % Assets in Top 10 20.21 Top 5 Holdings Get Price Quotes Sector YTD Return % % Net Assets Monsanto Company * Industrial Materials -36.75 3.25 % Bank of America Corporation * Financial Services -62.60 2.29 % ExxonMobil Corporation * Energy -14.26 2.12 % Wells Fargo Company * Financial Services -10.08 2.11 % Wal-Mart Stores, Inc. * Consumer Services 12.47 1.99 % YTD Return through 11-24-08. Morningstar.com, Fidelity Fund Snapshot. Accessed at: Appendix B, 2007. " Agreement Among PWG and U.S. Agency Principals on Principles and Guidelines Regarding Private Pools of Capital" : References
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48 Anderson, J. April 16, 2008 “Wall Street Winners Get Billion-Dollar Paydays”. New York Times. Barnett, Conde Nast Portfolio, March 31, 2008 “Hedge Funds Get a Pass: New money old hands off approach”. Accessed at: - markets/top-5/2008/03/31/Paulson-Plan-for-Hedge-Funds Bernanke, Speech, 2006 “Hedge Funds and Systemic Risk” At the Federal Reserve Bank of Atlanta’s 2006 Financial Markets Conference, Sea Island, Georgia. Accessed at: Chan, Getmansky, Haas, & Lo, National Bureau of Economic Research, March 2005 “Systemic Risk and Hedge Funds”. Working Paper 11200. Accessed at: China Daily, April 9, 2008 "Bear Stearns Bail Out Helped Avert Systemic Risk Song Shutao". Accessed at:
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