Philip Falcone, Kenneth C. Griffin, John Paulson, James Simons and George Soros testified before Congress. The House was trying to  get a better idea of how they operate, their use of leverage and their overall take on the situation. There are a lot of controversial issues surrounding these hedge fund managers and calls for more regulation in this industry…

All-in-all, this issue is quite controversial as many feel that hedge funds are somewhat responsible for the situation we are in but many forget that they have been calling this crash for quite some time… at the end of the day, we feel that a lot of it is driven by a fundamental misunderstanding of the hedge fund world (which is by no means perfect but not responsible for the turn of events) and the search for guilty parties… and since these guys have made a lot of money in the markets, they are easy targets.

DealBook has a good write-up of the testimonies of each of the managers: here.

Enjoy!