Made-off Act II, Chapter I: The Damage

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In our quest to bring you the latest, we have occasion to talk to all manner of Dealbreaker readers (you guys are the best) so it shouldn't surprise you to have a Made-off investor or two in the mix. Some interesting details have fallen out of a few of these conversations. Specifically:
Reporting was provided via "computer statement printed on an old school computer every month."
Tremont seems to have had a one to one levered fund and a 3:1 levered fund accomplished, apparently with swaps. We wonder quietly to ourselves where the bank exposure here might be.
Though listed with SIPC, that protection might only extend to the broker-dealer, and not the investment advisory practice (which is where all the loss is). Ouch.