There are a lot of dead carcasses on the road, and the vultures are out sniffing. This is the cycle of Wall Street. When bubbles crash, you get the value guys who come in and say, ‘This thing is cheap.’ -ANDY KESSLER, a former hedge fund manager.Everyone knows that investing in stocks and other derivatives, it's the fund managers that always win - like the house in Vegas. They collect your transaction fees whether you make money or not.
Here's a good Fresh Air program to update you on how people are making bets that we will be covering for a great long while (not the least of which is the bail out of Bear Sterns).
My advice to you: If you are playing the roulette wheel that is Wall Street, don't place bets you cannot afford to lose.
Take a look at the Red Envelope story, unfolding only today. Do they get the same bail out as Bear Sterns? Doubtful. Why is that?