Much of this is not true. This is in an occupy subreddit so be careful what you see in comments and what gets upvoted... One thing that he doesn't make clear:

Much of this is not true. This is in an occupy subreddit so be careful what you see in comments and what gets upvoted... One thing that he doesn't make clear: hedge fund fees are 2% annual management fee PLUS 20% of any upside (very similar to VC's) After fees, index funds often perform better than hedge funds: http://www.nytimes.com/2007/03/04/business/yourmoney/04stra.html http://www.nytimes.com/2007/03/04/business/yourmoney/04stra.... Also - relevant is this long bet: http://longbets.org/362/ http://longbets.org/362/ “Over a ten-year period commencing on January 1, 2008, and ending on December 31, 2017, the S & P 500 will outperform a portfolio of funds of hedge funds, when performance is measured on a basis net of fees, costs and expenses.” PREDICTOR Warren Buffett