Institutions Of The New Financial Architecture:Hedge Funds
AbstractCrucial institutions of the new "financial superstructure" have lately determined functioning and evaluation of financial flows in an unscrupulous manner. The established domination of the New Wall Street system was not just a dominant strategic idea aimed at facing problems of the American economy, but was rather directed towards simultaneous gaining of enormous profits of selected institutions and "sophisticated" individuals, i.e. maintaining the hegemony of American "capitalism". "New participants, new practices and new dynamics" inaugurated debt, imposed leverage and leisurely redirected responsibility. The dominant theoretical hypothesis of the efficient market has not withstood the trial of time. Unprecedented expansion of the balance sheet is the result of participation of investment managers in the activities of the speculative bubble. Speculative activities of hedge funds - the so-call big players - have had negative consequences to the market liquidity again. Intentional inadequate regulation of hedge funds, followed by extremely aggressive strategies, seems to represent an institutional model in the existing risky environment. Otherwise, the purpose of existence of highly leveraged institutions will be lost by abolishing the constructed model.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Economic Laboratory for Transition Research (ELIT) in its journal Montenegrin Journal of Economics.
Volume (Year): 5 (2009)
Issue (Month): 10 ()
Contact details of provider:
Web page: http://www.mnje.com
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Eryk Wdowiak).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.