Mark Cancellieri

Lessons from the Madoff Scandal: Deciding Which Funds Are Worth an Investment

You *really* expose your ignorance by calling Berkshire Hathaway a hedge fund and also by saying that Buffett made a rookie error by writing long-term puts. On the contrary, it was brilliant. He gets to invest billions of dollars of premiums for a minimum of 15 years. The *current* value of the indices is completely irrelevant to future cash flows of the investment. Sure, the *accounting* results might look bad, but they are irrelevant. The *economic* result will be a good one.