CBS News – This is a story about a large company accusing another large company of deliberately trying to drive down its stock price to make money. If the allegations are true, it’s like fixing a game.
The company being accused is one of the largest hedge funds in the world, called SAC. Hedge funds are exclusive investment pools for the ultra-rich. Virtually unregulated, they operate in secrecy.
Normally when most people buy a stock, they hope the price will go up; but one of the strategies hedge funds use is called “selling short,” in which they bet lots of money that a company’s stock price will fall.
If you have money in a retirement account or a pension fund, pay attention, because, as correspondent Lesley Stahl reports, hedge funds have become a major force in the market. When they make a move or “take a position,” as they say, it can affect your bottom line.
In this case, one of the largest companies in Canada is claiming that the hedge fund SAC was trying to make a killing by killing the company. true, it’s like fixing a game. The company being accused is one of the largest hedge …
