Additionally, what worries me is that with boatloads of pension dollars invested in hedge funds, and with those same hedge funds able to tuck away underperforming assets into so called ’side pockets’, once the other shoe which has yet to drop, ‘drops’ me thinks there is going to be a lot of pain ahead.

Every decade or so has it’s financial calamity, i.e. the S&L crisis. Although it may look like the subprime mortgage meltown might be the crisis of this decade, wait til the hedgefund industry starts to unravel.

On top of that, private equity is buying up the public markets and then paying huge dividends to themselves to recapture their equity investment- and then some, which rears its head in the form of massive balance sheet debt, which will be passed along to future shareholders once they push the the private portfolio back onto the public markets.

Seems to me that some of the sins will have no choice but to come back around to roost.