Not Everyone Is Broke: Goldman Sachs (GS) Starts $10 Billion Hedge Fund

Goldman Sachs (GS) has raised $10 billion to start a new hedge fund.

According to Bloomberg: "Goldman Sachs Investment Partners, set to open Jan. 1, is being run by traders who previously worked on the New York-based company's proprietary equity desk"

Bloomberg adds: "The company calculates that if the current fund, which will use borrowed money to double the assets under management, had operated since the beginning of 2004, it would have returned 18 percent a year on average through August 2007."

Twenty-twenty hindsight is always best. It worked at the Goldman Global Alpha Fund which lost 37% of its value through November 30.

Douglas A. McIntyre