And let's not forget what kind of financial mumbo jumbo got us in to this financial mess in the first place. A while back there was an article on Bloomberg that "Magnetar Capital LLC, the $7 billion hedge-fund firm that profited in 2007 from wagers that subprime-housing debt would tumble, told investors it didn’t help banks create mortgage-linked investments "built to fail". The firm offered limited input on the selection of securities in the deals and made bets that would pay off if they soured, as part of a “market neutral" portfolio designed to profit no matter what happened according to a letter to clients from Evanston, Illinois-based Magnetar."
So the wizards at Magnetar have a market neutral portfolio that makes money regardless of what happens? I guess they can also turn lead into gold.
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