I Stole Your Money, Bitches!

Bernie Madoff, made off with potentially up to $50B in a ponzi scheme because of a few simple reasons.

#1: He had a well known name on Wall Street. People threw their money at him only because he managed so much of it. Don't do any research people, just trust the genius. It's like the run of the lemmings over a cliff. No-one was going to get fired for suggesting that they invest with Madoff because it was perceived to be a "safe choice". Well, with the utter non-transparency of the hedge fund, I don't understand how anyone could have performed the due diligence to make an educated decision on whether to hire him as a manager.

#2: He is Jewish. Right or wrong, it seems like Jews in all walks of life tend to mainly trust, promote or support other Jews to a fault. I guess they figure that a fellow Jew won't let them down. Lots of Jewish folks today are lamenting the loss of their life savings because of this foolish notion. Just because a person shares your background doesn't make them trustworthy. Hopefully, a big lesson will be learned here.

#3: He somehow convinced individuals, trusts and companies to place the majority to all of their funds all in one place (with him). How anyone can consider that a diversification policy is beyond me. Especially after the whole world watched the Enron fiasco. Anyone that put their whole life savings or entire trusts in Madoff's hands got just what they deserve.

Overall, it is very hard for me as a portfolio manager and equities analyst to feel too bad for a lot of folks out there who should have known better. How exactly does one place their life savings in an account in which they can't even see what they hold?

Unbelievable.

Expect his two sons to join him in jail soon. It is almost impossible for me to believe that with their positions they had no idea what was going on. In my position, I know everything my company holds in every account and I don't have a title like Chief Financial Officer.

Those two Madoff boys should be in jail as well, I cannot be convinced that they are innocent. They'd have to be borderline retarded for me to believe they had no knowledge of what Dad was doing. Dad is taking the fall to protect them. Expect them to be incarcerated shortly.