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It is by now proverbial that every proverb has its opposite. For every "Time is money" there is a "Stop and smell the roses". When someone says "You never stand in the same river twice" someone else has already replied "There is nothing new under the sun". In the mind’s arithmetic, 1 plus –1 equals 2. Truths are not quantities but scripts: Become for a moment the mind in which this is true. Thus Spake Ray
I love it: "Examination of option greeks to make sure the hedge is working as expected". How about the examination of trades to determine whether the returns can be replicated? How about the examination of OEX option trading volumes? What a joke.
Beyond the Fairfield Sentry and Sigma Madoff-only funds, FGG had a couple of fund of funds -- Chester and Irongate -- that were also exposed to Madoff, FYI.
Fund of funds my firm uses have put in redemptions on DE Shaw and Millenium prior to Madoff and post the triggering of gates. Not sure about the self-administration issue but I will look into it.
Are you referring to the Aksia letter?: http://graphics8.nytimes.com/packages/pdf/business/Madoff.pdf